Asian shares rise, buoyed by expectation of more trade pacts after US-Japan tariff deal
Japan's Nikkei 225 surged nearly 2% to 41,983.50. The Shanghai Composite Index added 0.4% to 3,595.58 while Hong Kong's Hang Seng index rose 0.4% to 25,631,08.
South Korea's Kospi climbed 0.9% to 3,211.21 after central bank data showed Thursday that the country's second quarter GDP rose 0.6%, above expectations thanks to robust private consumption and exports.
India's BSE Sensex edged 0.7% higher to 82,726.64 and Australia's S&P ASX 200 slid 0.1% to 8,729.20.
'Asian equities caught another updraft, rising for a sixth straight session, as whispers of broader trade accords scattered across the tape like migrating birds sensing the storm has passed,' Stephen Innes of SPI Asset Management wrote in a commentary.
'With the ink barely dry on the U.S.-Japan tariff truce — inked at a palatable 15% — traders are already scanning the horizon for the next deal to surface. Europe? Maybe. India? China? Everyone? Perhaps. But the mood is pure Electric Avenue,' he added.
On Wednesday, U.S. stocks set more records following a trade deal between the world's No. 1 and No. 4 economies, one that would lower proposed tariffs on Japanese imports coming to the United States.
The S&P 500 added 0.8% to its all-time high. The Dow Jones Industrial Average rallied 507 points, or 1.1%, and the Nasdaq composite climbed 0.6% to hit its own record.
Stocks jumped even more in Tokyo on Wednesday, where the Nikkei 225 rallied 3.5% after President Donald Trump announced a trade framework that would place a 15% tax on imports coming from Japan. That's lower than the 25% rate that Trump had earlier said would kick in on Aug. 1.
Trump has proposed stiff taxes on imports from around the world, which carry the double-edged risk of driving up inflation for U.S. households while slowing the economy. But many of Trump's tariffs are currently on pause, giving time to reach deals with other countries that could lower the tax rates. Trump also announced a trade agreement with the Philippines on Tuesday.
So far, the U.S. economy has seemed to hold up OK despite the pressures on it. And tariffs already in place may be having less of an effect than expected, at least when it comes to the prices that U.S. households are paying at the moment.
In other dealings on Thursday, U.S. benchmark crude oil added 22 cents to $65.47 per barrel. Brent crude, the international standard, rose 21 cents to $68.72 per barrel.
The U.S. dollar fell to 146.03 against the Japanese yen from 146.51. The euro rose to $1.1781 from $1.1777.
__ AP Business Writer Stan Choe contributed.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
27 minutes ago
- Yahoo
S&P/TSX composite rises Friday morning, U.S. markets also higher
TORONTO — Gains in technology stocks helped lift Canada's main stock index in late-morning trading on Friday, while U.S. markets also rose. The S&P/TSX composite index was up 59.05 points at 27,431.31. In New York, the Dow Jones industrial average was up 99.67 points at 44,793.58. The S&P 500 index was up 16.59 points at 6,379.94, while the Nasdaq composite was up 42.59 points at 21,100.55. The Canadian dollar traded for 72.97 cents US compared with 73.37 cents US on Thursday. The September crude oil contract was down 42 cents US at US$65.61 per barrel. The August gold contract was down US$40.00 at US$3,333.50 an ounce. This report by The Canadian Press was first published July 25, 2025. Companies in this story: (TSX:GSPTSE, TSX:CADUSD) The Canadian Press Sign in to access your portfolio
Yahoo
27 minutes ago
- Yahoo
Foreclosure Inquiries Hit 5-Year High — Here's Why and How It Could Affect the Housing Market
Foreclosure inquiries in the United States have been surging as more Americans fret about the potential impact of tariffs on the economy — and the U.S. housing market could suffer because of it. Read Next: Check Out: Here are more details on the growing foreclosure inquiries and how that could affect the housing market. 'Homes Are at Risk' Legal requests related to foreclosures are at their highest level since April 2020, according to a recent report from LegalShield, an Oklahoma-based provider of legal guidance and services. In a May survey of 802 U.S. adults, LegalShield found that more than 70% of homeowners and prospective buyers worry that tariffs and a potential recession could disrupt their housing plans. LegalShield also reported a 'marked drop' in home purchase and housing construction inquiries. This could foreshadow a slowdown in the housing market. 'The hard data from consumers calling lawyers matches their fears about the economy: their homes are at risk and things may get worse,' LegalShield CEO Warren Schlichting said in a press release shared with GOBankingRates. 'The other concerning finding is a drop in consumers asking for help to buy a home and a decline in questions from builders.' Be Aware: Why Are Foreclosure Fears Rising? The LegalShield survey highlighted a 'convergence of pressures,' according to Matt Layton, the company's senior vice president of consumer analytics. 'Buyers from the homebuying surge a few years ago want help with rising insurance premiums, property tax reassessments, and adjustable-rate mortgage resets,' Layton said. 'People are reaching out to LegalShield provider lawyers to save their homes, and they're scared of the next shoe to drop in the economy.' According to LegalShield, May saw the lowest level of legal activity related to housing sales since July 2023. That was also when the Federal Reserve raised interest rates most recently, LegalShield noted. Overall, the survey cited mortgage rate uncertainty, elevated home prices and inventory challenges as impacts on buyers and sellers. LegalShield's report aligns with similar research from other sources. For example, climate-risk research group First Street found that the risk of foreclosures is rising partly because of the impact of weather-related damage to homes, MarketWatch reported. This problem is exacerbated by the fact that roughly 1 in 7 U.S. homes are uninsured, per LendingTree. How Is the Housing Market Impacted? Rising foreclosures can impact the housing market in a couple of ways, according to a Federal Reserve Bank of Cleveland report published in 2010, just on the heels of the housing and financial meltdown that led to the Great Recession. The first reason is that foreclosures add to the housing supply. If there's more supply, home values could fall. The second is that homeowners who've faced foreclosure are considered credit risks who might not qualify for future home loans, which reduces the number of potential buyers. The best way for homeowners to prevent foreclosure is to get legal advice long before they really need it, according to Schlichting. 'Perhaps now more than ever, consumers need to consider how to protect themselves and their asset if they are able to buy a home in the midst of these economic headwinds,' he said. 'Instead of calling a lawyer after something goes wrong, smart homeowners are starting to get legal advice upfront — before they buy, before they renovate, before problems become expensive disasters.' More From GOBankingRates Mark Cuban Warns of 'Red Rural Recession' -- 4 States That Could Get Hit Hard Mark Cuban Tells Americans To Stock Up on Consumables as Trump's Tariffs Hit -- Here's What To Buy 6 Big Shakeups Coming to Social Security in 2025 This article originally appeared on Foreclosure Inquiries Hit 5-Year High — Here's Why and How It Could Affect the Housing Market Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
27 minutes ago
- Yahoo
Brazil scrambles as U.S. tariff deadline looms, talks stall
By Luciana Magalhaes, Lisandra Paraguassu, Bernardo Caram and Ana Mano SAO PAULO (Reuters) -Brazil is scrambling to avert punishing 50% U.S. tariffs in a week's time, but high level talks are stalled and U.S. companies are reluctant to confront U.S. President Donald Trump over the issue, officials and industry leaders say. Trump linked the tariffs, which he has said would come into effect on Aug. 1, to Brazil's treatment of former President Jair Bolsonaro, who is on trial over charges of plotting a coup to stop President Luiz Inacio Lula da Silva from taking office. Lula has called the threatened duty "unacceptable blackmail." No new diplomatic talks have occurred since last month, and a Brazilian counter-proposal sent in May went unanswered, two diplomats with knowledge of the matter told Reuters. Brazilian Vice-President Geraldo Alckmin told reporters on Thursday that he reiterated the country's willingness to negotiate in a Saturday discussion with U.S. Secretary of Commerce, Howard Lutnick. The lack of communication has left Brazil with dwindling options as the deadline approaches. "If he wanted to talk, he would pick up the phone and call me," Lula said of Trump at an event on Thursday. The White House didn't immediately respond to a request for comment. Negotiations are complicated by U.S. concerns over the prosecution of Bolsonaro, a Trump ally, one diplomat said, calling it a major roadblock. Trump announced the proposed 50% tariffs on Brazil on July 9 despite a U.S. trade surplus with the country - lining it up for one of the world's very highest such levies, close to China's 55% rate. In a series of 18 meetings, Alckmin has urged representatives from U.S. firms including General Motors, John Deere and Alphabet Inc to press Washington on the issue. However, the companies are reluctant to confront Trump for fear of retaliation, according to a government official and Ricardo Alban, president of Brazil's main industry lobby, CNI. "Things are very tense," Alban told reporters on Thursday. Also on Thursday, a group of Democratic senators condemned the tariffs on Brazil as a "clear abuse of power" in a letter to Trump. The tariffs could have a severe economic impact. The CNI estimates over 100,000 Brazilian jobs could be lost, potentially trimming 0.2% from the country's gross domestic product. The country's powerful agribusiness lobby, CNA, projects the value of its U.S. exports could fall by half. Alban said the potential blow to exporters could be worse than the COVID-19 pandemic, adding that business leaders are asking the government for aid, suggesting new credit lines. In response, some companies are already adjusting their trade strategies. Motor maker WEG is considering a plan to use its plants in Mexico and India to supply the U.S., its chief financial officer told analysts. Meat exporter Naturafrig Alimentos has begun redirecting shipments to other countries, according to commercial director Fabrizzio Capuci. Other companies are turning to the courts. Orange juice producer Johanna Foods, for example, has sued the Trump administration over the proposed tariffs. Companies in sectors ranging from steel to chemicals are also facing export contract cancellations, according to one advisor who asked not to be named. Abiquim, an association that represents chemical companies in Brazil, confirmed cancellations due to the threat of tariffs, without naming the companies affected. A lobby group representing steel companies declined to comment.
