Asia-Pacific markets set to open lower as investors assess U.S.-Vietnam trade deal
Bloomberg | Bloomberg | Getty Images
Asia-Pacific markets were set to open mostly lower Thursday as investors await details on the U.S.-Vietnam trade agreement that President Donald Trump announced on Wednesday.
The U.S. is imposing a 20% tariff on goods imported from the Southeast Asian nation, while the latter will impose "ZERO Tariff," Trump said on Truth Social.
This comes as the deadline for Trump's 90-day tariff reprieve draws closer.
Japan's benchmark Nikkei 225 was set to open marginally lower, with the futures contract in Osaka last trading at 39,740, against the index's last close of 39,762.48.
Australia's S&P/ASX 200 is similarly set for a lower open, with futures tied to the benchmark at 8,587 compared to its last close of 8,597.7.
Futures for Hong Kong's Hang Seng index stood at 24,174, lower than its last close of 24,221.41.
— CNBC's Sean Conlon and Brian Evans contributed to this report.
President Donald Trump said Wednesday that the United States has struck a trade deal with Vietnam that includes a 20% tariff on the Southeast Asian country's imports to the U.S.
The deal will give the U.S. tariff-free access to Vietnam's markets, Trump said on Truth Social.
Vietnam also agreed that goods would be hit with a 40% tariff rate, he added, if they originated in another country and were transferred to Vietnam for final shipment to the United States.
The process, known as transshipping, is used to circumvent trade barriers. China, a top exporter to the U.S., has reportedly used Vietnam as a transshipment hub.
Read the full story here.
—Kevin Breuninger
Hello from Singapore! Asia-Pacific stock markets are looking at a lower open after mixed trading on Wednesday.
Japan's benchmark Nikkei 225 was set to open marginally lower, with the futures contract in Osaka last trading at 39,740, against the index's last close of 39,762.48.
Australia's S&P/ASX 200 is similarly set for a lower open, with futures tied to the benchmark at 8,587 compared to its last close of 8,597.7.
Futures for Hong Kong's Hang Seng index stood at 24,174, lower than its last close of 24,221.41.
We will also be on the lookout if Singapore equities can maintain their streak after notching a new high on Wednesday.
— Lee Ying Shan
The S&P 500 and the Nasdaq Composite finished Wednesday's session in the green.
The broad market index rose 0.47% to close at 6,227.42, while the tech-heavy Nasdaq jumped 0.94%, finishing at 20,393.13. The blue-chip Dow Jones Industrial Average, meanwhile, dropped 10.52 points, or 0.02%, to end the day at 44,484.42.
— Sean Conlon
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