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Asian markets mostly rose Friday after a negative day on Wall Street as investors weigh the economic outlook in light of Donald Trump’s tariffs drive and geopolitical machinations.A largely positive week in the region was headed for a healthy finish, and Hong Kong was again the standout performer thanks to the tech sector led by Alibaba following a forecast-topping earnings release.The yen pulled back a day after rallying past the 150-per-dollar mark following a warning on rising bond yields by Japan’s finance minister saw a rethink over bets on how many interest rate hikes the central bank will announce this year.Traders have been dealing with a series of Trump headlines this week that have made them consider their investment strategies, with his mulling of more tariffs adding to inflation worries.Minutes from the Federal Reserve’s January policy meeting, released this week, showed officials concerned that the president’s trade wars and pledges to cut taxes, regulations and immigration will force them to pause their rate cutting for now.The first high-level discussions between Washington and Moscow since Russia invaded Ukraine — without the presence of Europe or Kyiv — saw the two appoint teams to negotiate an end to the war.The thawing of US-Russia tensions has led to angry exchanges between Trump and Ukraine’s President Volodymyr Zelensky.The developments have rattled market confidence amid questions over Trump’s commitments to European security.The uncertainty has helped push gold to record levels and close to $3,000 for the first time.Disappointing earnings from retail titan Walmart sparked worries about US consumer activity and the impact on the world’s top economy, and weighed on Wall Street with all three main indexes ending in negative territory.Asia fared a little better, with Tokyo, Shanghai, Singapore, Taipei, Manila and Jakarta rising.But Hong Kong led the pack, soaring more than two percent on the back of an 11 percent surge in Chinese ecommerce titan Alibaba in the wake of forecast-topping sales figures. The city’s market has piled on more than 15 percent in 2025 thanks to a blistering performance in the tech sector in the wake of the unveiling of Chinese startup DeepSeek’s chatbot, which has upended the global AI market.Alibaba is up around 60 percent this year, while Tencent has gained 20 percent and games developer XD Inc more than 30 percent.Sydney, Seoul and Wellington all retreated.On currency markets the yen retreated after Japanese Finance Minister Katsunobu Kato said Friday that rising government bond yields — which at a 15-year high — could weigh on economic growth.The yen was back above 150 to the dollar, having strengthened to below that figure for the first time since December.That dented expectations the Bank of Japan will announce a series of rate hikes this year, even after data Friday showed Japanese core inflation hit a 19-month high of 3.2 percent in January.”Kato’s remarks had traders rethinking whether the BoJ would really push ahead aggressively or if they might be nudged into a more measured, summer one-and-done approach in 2025,” said SPI Asset Management’s Stephen Innes.”Most economists expect the next BoJ rate hike to land in the summer, but the market isn’t entirely convinced.”Stronger-than-expected fourth-quarter GDP growth figures, notably hawkish remarks from BoJ board member Hajime Takata, and a hotter CPI have amplified speculation that the tightening cycle could move faster than anticipated.”- Key figures around 0245 GMT -Tokyo – Nikkei 225: UP 0.1 percent at 38,719.34 (break) Hong Kong – Hang Seng Index: UP 2.7 percent at 23,177.48Shanghai – Composite: UP 0.7 percent at 3,374.62Euro/dollar: DOWN at $1.0488 from $1.0505 on ThursdayPound/dollar: DOWN at $1.2656 from $1.2668Dollar/yen: UP at 150.00 from 149.65 yenEuro/pound: DOWN at 82.86 pence from 82.90 pence West Texas Intermediate: UP 0.3 percent at $72.69 per barrelBrent North Sea Crude: UP 0.3 percent at $76.70 per barrelNew York – Dow: DOWN 1.0 percent at 44,176.65 (close)London – FTSE 100: DOWN 0.6 percent at 8,662.97 (close)

Japanese inflation accelerated in January, further pressuring households as prices excluding fresh food rose 3.2 percent on-year, government data showed Friday.The rate was the highest since June 2023, fuelling speculation over the timing of the Bank of Japan’s next interest rate hike as it retreats from years of aggressive monetary easing to boost the moribund economy.January’s core Consumer Price Index (CPI) was above market expectations of a 3.1 percent rise, accelerating from 3.0 percent in December, the internal affairs ministry said.Overall, inflation including volatile fresh food was up 4.0 percent on-year — among the highest in the G7 — speeding up from 3.6 percent in December and 2.9 percent in November.The price of cabbage almost tripled in January, in what local media have dubbed a “cabbage shock” after last year’s record summer heat and heavy rain ruined crops.The price of rice also soared more than 70 percent, Friday’s data showed, while electricity bills jumped 18 percent.Last week, the government said it would release a fifth of its emergency rice stockpile after poor harvests and panic-buying over a “megaquake” warning pushed up the cost of the staple.Japan has previously tapped into its reserves during disasters, but this was the first time since the stockpile was created in 1995 that supply chain problems have prompted the move.- Yen ‘slugfest’ -The Bank of Japan raised interest rates again last month, having done so in March 2024 for the first time in 17 years.It is gradually normalising monetary policies after years of efforts to counter Japan’s “lost decades” of economic stagnation and static or falling prices.”Japan’s hotter-than-expected CPI had all the makings of a knockout punch” for boosting the yen’s value, with traders ready for a “major shift” in expectations for central bank policy, said Stephen Innes of SPI Asset Management.”But instead, it turned into a slugfest as high-ranking officials stepped in to cool the yen rally,” he said.Finance Minister Katsunobu Kato warned Friday that higher bond yields could pressure government spending, because it means paying more for servicing Japan’s huge government debt.His comments reminded traders “that the BoJ isn’t operating in isolation — it’s still tethered to the Ministry of Finance, which has its own set of concerns”, Innes said.”Most economists expect the next BoJ rate hike to land in the summer, but the market isn’t entirely convinced.”One dollar bought 150.26 yen mid-morning on Friday, with the Japanese currency weaker than 149.68 Thursday.This week, gross domestic product (GDP) figures showed that Japan’s economic growth slowed sharply last year, although the rate for the fourth quarter topped expectations.It comes as companies fret over the impact of US President Donald Trump’s tariffs and other protectionist trade policies on the world’s fourth largest economy.Japanese media reported on Thursday that the trade minister is arranging a visit to the United States to seek exemptions from the tariffs.

Japanese inflation accelerated in January, further pressuring households as prices excluding fresh food rose 3.2 percent on-year, government data showed Friday.Speculation is growing that the Bank of Japan may hike interest rates again to counter rising prices and as part of its retreat from years of aggressive monetary easing to boost the moribund Japanese economy.The core Consumer Price Index (CPI) was above market expectations of a 3.1 percent rise, and accelerated from 3.0 percent in December, the internal affairs ministry said.Overall, inflation including volatile fresh food prices was up 4.0 percent on-year, speeding up from 3.6 percent in December and 2.9 percent in November.In January, the price of cabbage almost tripled year-on-year after last year’s record summer heat and heavy rain ruined crops in what media have dubbed a “cabbage shock”.The price of rice also soared more than 70 percent, the data showed, while electricity bills jumped by 18 percent.”While the increase in electricity and other prices narrowed, the increase for gasoline and kerosene expanded,” the ministry said.Last week, the government said it would release a fifth of its emergency rice stockpile after hot weather, poor harvests and panic buying over a “megaquake” warning pushed up its cost.Japan has previously tapped into its reserves in disasters, but this was the first time since the stockpile was created in 1995 that supply chain problems have prompted the decision.The Bank of Japan raised interest rates again last month — having done so in March for the first time in 17 years — and signalled more hikes to come.The move was underpinned by “steadily” rising wages and financial markets being “stable on the whole”, the bank said.Even as other central banks raised borrowing costs in recent years the BoJ had remained an outlier.But it finally lifted rates above zero in March, signalling a move away from policies designed to counter Japan’s “lost decades” of economic stagnation and static or falling prices.Recent gross domestic product (GDP) figures showed that Japan’s economic growth slowed sharply last year, although the rate for the fourth quarter topped expectations.It comes as companies fret over the impact of US President Donald Trump’s tariffs and other protectionist trade policies on the world’s fourth largest economy.Japanese media reported on Thursday that the trade minister is arranging a visit to the United States to seek exemptions from the tariffs.

Global stock markets mostly fell on Thursday and gold hit a record high as traders fretted over the impact of US President Donald Trump’s tariffs and a pivot in Washington’s policy on Ukraine.Wall Street indices fell after retail behemoth Walmart issued a lackluster forecast. Shares of Citigroup, Goldman Sachs and JPMorgan Chase fell three percent or more, dragging on major indices.US indices opened lower and spent the entire session in negative territory. But the S&P 500, which finished at a record the last two days, dropped 0.4 percent, well above its session lows — a sign of resilience.”Whenever there’s been trouble in the market, buyers have showed up,” said Adam Sarhan from 50 Park Investments, who attributed the weakness in bank shares to profit-taking.Tensions between Ukrainian President Volodymyr Zelensky and Trump over the US President’s outreach to Moscow have exploded this week, rattling leaders in Europe.Uncertainty about Ukraine and Russia adds to anxiety over Trump’s myriad tariff actions and worries about lingering inflation.”Investors are mulling the impact of interest rates staying higher for longer, given that policymakers expect US trade policy to push up the price of consumer goods,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown. Paris stocks managed to end the day with a small gain but Frankfurt and London both slid lower.Geopolitical uncertainty also led gold to hit a fresh record above $2,954 as investors rushed into the safe-haven commodity, which is sought out in times of uncertainty.Asian markets struggled on Thursday.Shanghai managed to pare back early losses to end flat after Trump suggested on Wednesday that a trade deal with China was “possible.”Hong Kong dropped more than one percent as the China tech surge came to an end.Tokyo was weighed down by a stronger yen, which broke below 150 per dollar as the Bank of Japan eyes more interest rate hikes.Among individual companies, Boeing slumped 2.8 percent after President Trump said he was looking at “alternatives” to the company’s Air Force One operation because of delivery delays.- Key figures around 2130 GMT -New York – Dow: DOWN 1.0 percent at 44,176.65 (close)New York – S&P 500: DOWN 0.4 percent at 6,117.52 (close)New York – Nasdaq Composite: DOWN 0.5 percent at 19,962.36 (close)London – FTSE 100: DOWN 0.6 percent at 8,662.97 (close)Paris – CAC 40: UP 0.2 percent at 8,122.58 (close)Frankfurt – DAX: DOWN 0.5 percent at 22,314.65 (close)Tokyo – Nikkei 225: DOWN 1.2 percent at 38,678.04 (close) Hong Kong – Hang Seng Index: DOWN 1.6 percent at 22,576.98 (close)Shanghai – Composite: FLAT at 3,350.78 (close)Euro/dollar: UP at $1.0505 from $1.0423 on WednesdayPound/dollar: UP at $1.2668 from $1.2586Dollar/yen: DOWN at 149.65 from 151.47 yenEuro/pound: UP at 82.90 pence from 82.81 pence West Texas Intermediate: UP 0.4 percent at $72.57 per barrelBrent North Sea Crude: UP 0.6 percent at $76.48 per barrelburs-jmb/aha

Global stock markets turned lower on Thursday and gold hit a record high as traders fretted over the impact of US President Donald Trump’s tariffs and immigration measures on growth and inflation.Retail behemoth Walmart reported solid sales and profit growth for last year, but its shares dropped more than six percent as its outlook for a slowing increase in consumer spending this year spooked investors.The company sees three to four percent annual sales growth this year, lower than the 5.1 percent it recorded in 2024.The company’s sales are looked on as a bellwether for US consumer activity.”It’s the largest retailer in the United States: when Walmart says clearly that conditions are worsening with a drop in consumption and they believe inflation will start moving back up this year, this will certainly raise questions,” said Andrea Tueni, head of markets at Saxo Banque France.Wall Street’s main indices moved around one percent lower in late morning trading.”Investors are mulling the impact of interest rates staying higher for longer, given that policymakers expect US trade policy to push up the price of consumer goods,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown. Meanwhile minutes from the US central bank’s January meeting released on Wednesday suggested officials were not likely to cut interest rates any time soon — having reduced them at three successive meetings — citing worries about the impact of Trump’s policies.Economists have warned that Trump’s pledge to ramp up tariffs on trade partners while slashing taxes, regulations and immigration could fan inflation.Geopolitical uncertainty also led gold to hit a fresh record above $2,954 as investors rushed into the safe-haven commodity, which is sought out in times of uncertainty.Briefing.com analyst Patrick O’Hare said “the negative disposition is rooted in part on concerns about the market’s trading behavior.”With traders having recently reliably piled in to “buy the dip” — that is to push up stocks when they turn lower — O’Hare said more retail investors are piling into the market.”That is when it becomes a bigger short-term risk,” he said, with the potential for much sharper downturns if these short-term investors pull out.”A failure of the buy-the-dip approach will shake out weak-handed holders of new positions banking on its success and it will invite a momentum shift in the price action that can have a cascading effect in some instances,” O’Hare said.Dealers have also been keeping a nervous eye on talks over Ukraine with Trump calling Ukrainian leader Volodymyr Zelensky a “dictator” on Wednesday.The United States has provided essential funding and arms to Ukraine after Russia’s invasion but Trump made an abrupt policy shift by opening talks with Moscow.Paris stocks managed to end the day with a small gain but Frankfurt and London both slid lower.Asian markets struggled on Thursday.Shanghai managed to pare back early losses to end flat after Trump suggested on Wednesday that a trade deal with China was “possible”.Hong Kong dropped more than one percent as the China tech surge came to an end.Tokyo was weighed down by a stronger yen, which broke below 150 per dollar as the Bank of Japan eyes more interest rate hikes.- Key figures around 1630 GMT -New York – Dow: DOWN 1.3 percent at 44,028.76 pointsNew York – S&P 500: DOWN 0.8 percent at 6,096.00 New York – Nasdaq Composite: DOWN 0.8 percent at 19,898.07 London – FTSE 100: DOWN 0.6 percent at 8,662.97 (close)Paris – CAC 40: UP 0.2 percent at 8,122.58 (close)Frankfurt – DAX: DOWN 0.5 percent at 22,314.65 (close)Tokyo – Nikkei 225: DOWN 1.2 percent at 38,678.04 (close) Hong Kong – Hang Seng Index: DOWN 1.6 percent at 22,576.98 (close)Shanghai – Composite: FLAT at 3,350.78 (close)Euro/dollar: UP at $1.0473 from $1.0428 on WednesdayPound/dollar: UP at $1.2640 from $1.2582Dollar/yen: DOWN at 149.68 from 151.40 yenEuro/pound: UP at 82.85 pence from 82.81 pence West Texas Intermediate: UP 0.8 percent at $72.68 per barrelBrent North Sea Crude: UP 0.8 percent at $76.66 per barrelburs-rl/cw

Global stock markets turned mostly lower on Thursday and gold hit a record high amid Federal Reserve concerns that US President Donald Trump’s tariffs and immigration measures could reignite inflation.Corporate earnings also impacted sentiment, with shares in retail behemoth Walmart dropping more than five percent as its outlook disappointed investors.The company is looked on as a bellwether for the US retail sector.Wall Street’s main indices opened lower, with the S&P 500 coming off another record high.”Investors are mulling the impact of interest rates staying higher for longer, given that policymakers expect US trade policy to push up the price of consumer goods,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown. Minutes from the US central bank’s January meeting suggested officials were not likely to cut interest rates any time soon — having reduced them at three successive meetings — citing worries about the impact of Trump’s policies.Economists have warned that the Trump’s pledge to ramp up tariffs on trade partners while slashing taxes, regulations and immigration could fan inflation.Geopolitical uncertainty also led gold to hit a fresh record above $2,954 as investors rushed into the safe-haven commodity, which is sought out in times of uncertainty.Briefing.com analyst Patrick O’Hare said “the negative disposition is rooted in part on concerns about the market’s trading behavior.”With traders having recently reliably piled in to “buy the dip” — that is to push up stocks when they turn lower — O’Hare said more retail investors are piling into the market.”That is when it becomes a bigger short-term risk,” he said, with the potential for much sharper downturns if these short-term investors pull out.Dealers have also been keeping a nervous eye on talks over Ukraine with Trump calling Ukrainian leader Volodymyr Zelensky a “dictator” on Wednesday.The United States has provided essential funding and arms to Ukraine after Russia’s invasion but Trump made an abrupt policy shift by opening talks with Moscow.Nevertheless both Frankfurt and Paris stock markets edged higher, although London slid lower.Asian markets struggled on Thursday.Shanghai managed to pare back early losses to end flat after Trump suggested on Wednesday that a trade deal with China was “possible”.While Hong Kong dropped more than one percent as the China tech surge came to an end.Tokyo was weighed down by a stronger yen, which briefly broke below 150 per dollar as the Bank of Japan eyes more interest rate hikes.In company news, a sharp drop in profit left France’s Carrefour supermarket group diving around nine percent in Paris, while industrial giant Schneider Electric gained five percent on strong results. Shares in British Gas owner Centrica rose six percent after it announced additional share buybacks and plans to embark on greater investment. Shares in Lloyds Banking Group rose a similar amount as investors shrugged off its profit drop. In Frankfurt, Mercedes-Benz receded 1.4 percent after it announced that 2024 profits plunged by almost a third amid a slump in China and weak electric car sales. – Key figures around 1430 GMT -New York – Dow: DOWN 0.4 percent at 44,463.50 pointsNew York – S&P 500: DOWN 0.3 percent at 6,129.29 New York – Nasdaq Composite: DOWN 0.1 percent at 20,028.95 London – FTSE 100: DOWN 0.4 percent at 8,676.40Paris – CAC 40: UP 0.3 percent at 8,137.69Frankfurt – DAX: UP 0.2 percent at 22,487.38Tokyo – Nikkei 225: DOWN 1.2 percent at 38,678.04 (close) Hong Kong – Hang Seng Index: DOWN 1.6 percent at 22,576.98 (close)Shanghai – Composite: FLAT at 3,350.78 (close)Euro/dollar: UP at $1.0455 from $1.0428 on WednesdayPound/dollar: UP at $1.2619 from $1.2582Dollar/yen: DOWN at 149.99 from 151.40 yenEuro/pound: UP at 82.87 pence from 82.81 pence West Texas Intermediate: UP 0.7 percent at $72.61 per barrelBrent North Sea Crude: UP 0.7 percent at $76.57 per barrelburs-rl/cw

Hundreds of Chinese workers started to arrive home on Thursday after being freed from online scam centres in Myanmar, as authorities crack down on the illegal operations.Thousands of foreigners are expected to be repatriated from Myanmar in the coming weeks, starting with hundreds of Chinese nationals over the next three days.The compounds are run by criminal gangs and staffed by foreigners, many of whom say they were trafficked and forced to swindle people around the world in protracted internet scams.Many of those involved in the scam farms are Chinese, and Beijing has stepped up pressure on Myanmar and Thailand to shut the operations down.Two double-decker coaches delivered a first group of workers across the border from Myanmar to an airport in the western Thai town of Mae Sot on Thursday morning.Dozens of people, seemingly all men, boarded a special China Southern Airlines plane directly from the buses, mounting the steps after being checked by an official with a clipboard.The plane took off shortly after 11:30 am (0430 GMT), landing in the eastern Chinese city of Nanjing in the afternoon, state broadcaster CCTV said. Three more flights followed, ferrying a total of 200 back to China.”In the coming days, an additional 800 or so Chinese nationals suspected of fraud-related crimes are expected to be escorted back to China,” CCTV added.Thai officials gave a lower figure, saying a total of 600 more Chinese would be repatriated on further charter flights from Mae Sot over Friday and Saturday.It is not clear what fate awaits them, but Chinese police accompanied the returnees on the planes, according to Beijing’s Ministry of Public Security, which referred to them as “suspects” rather than victims.A report on the CGTN state broadcaster showed the returnees, handcuffed and dressed in brown jumpsuits, being frogmarched off the plane, a police officer on each arm.Asked about the deportations on Thursday, Beijing’s foreign ministry referred reporters to the “relevant authorities” for details.”The resolute crackdown on online gambling and telecom fraud is a concrete manifestation of implementing a development philosophy centred on the people,” ministry spokesman Guo Jiakun said at a regular press briefing.”It is also an imperative choice to safeguard the common interests of regional countries,” Guo said.The Karen Border Guard Force (BGF), a militia allied with the Myanmar junta, says it will deport 10,000 people linked to compounds in areas it controls on the border with Thailand.”Two hundred Chinese nationals involved in online gambling, telecom fraud, and other crimes were handed over in accordance with legal procedures through Thailand this morning, in the spirit of humanitarianism and friendship between countries,” the Myanmar junta said in a statement.Thai Deputy Prime Minister Phumtham Wechayachai said that after the first round of 600 Chinese were returned, further talks would be needed between Thailand, China and Myanmar to organise more repatriations.- Beatings -The release follows several visits by China’s Public Security Assistant Minister Liu Zhongyi to both Bangkok and the border in recent weeks to arrange the repatriation.Scam centres have proliferated across Southeast Asia in recent years, including in Cambodia and the Philippines, as the value of the industry has ballooned to billions of dollars a year.Many workers say they were lured or tricked by promises of high-paying jobs before they were effectively held hostage, their passports taken from them while they were forced to commit online fraud.Many have said they suffered beatings and other abuse at the hands of their supervisors, and AFP has interviewed numerous workers freed from centres with severe bruising and burns. A local Myanmar militia last week handed over 260 scam centre workers from a dozen countries, including the Philippines, Ethiopia, Brazil and Nepal, to Thailand.burs-pdw/sn 

Global stock markets were mixed on Thursday and gold hit a record high amid Federal Reserve concerns that US President Donald Trump’s tariffs and immigration measures could reignite inflation.European markets reacted also to a flurry of company earnings pulling the indices in different directions. While London’s FTSE 100 fell, Paris and Frankfurt bourses rose. “Investors are mulling the impact of interest rates staying higher for longer, given that policymakers expect US trade policy to push up the price of consumer goods,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown. Minutes from the US central bank’s January meeting suggested officials were not likely to cut interest rates any time soon — having reduced them at three successive meetings — citing worries about the impact of Trump’s policies.Economists have warned that the Trump’s pledge to ramp up tariffs on trade partners while slashing taxes, regulations and immigration could fan inflation.Geopolitical uncertainty also led gold to hit a fresh record above $2,954 as investors rushed into the safe-haven commodity, which is sought out in times of uncertainty.Dealers have been keeping a nervous eye on talks over Ukraine with Trump calling Ukrainian leader Volodymyr Zelensky a “dictator” on Wednesday.The United States has provided essential funding and arms to Ukraine after Russia’s invasion but Trump made an abrupt policy shift by opening talks with Moscow.All three main indexes in New York rose on Wednesday, with the S&P 500 at another all-time peak, but Asian markets failed to sustain the positive momentum in Thursday’s session.Shanghai managed to pare back early losses to end flat after Trump suggested on Wednesday that a trade deal with China was “possible”.While Hong Kong dropped more than one percent as the China tech surge came to an end.Tokyo was weighed down by a stronger yen, which briefly broke below 150 per dollar as the Bank of Japan eyes more interest rate hikes.In company news, a sharp drop in profit left France’s Carrefour supermarket group diving around six percent in Paris, while industrial giant Schneider Electric gained six percent on strong results. Shares in British Gas owner Centrica soared eight percent, topping London’s FTSE 100 index, after it announced additional share buybacks and plans to embark on greater investment. Elsewhere in London, Lloyds Banking Group rose over four percent as investors shrugged off its profit drop. In Frankfurt, Mercedes-Benz receded two percent after it announced that 2024 profits plunged by almost a third amid a slump in China and weak electric car sales. – Key figures around 1100 GMT -London – FTSE 100: DOWN 0.2 percent at 8,695.86Paris – CAC 40: UP 0.6 percent at 8,158.04Frankfurt – DAX: UP 0.5 percent at 22,548.00Tokyo – Nikkei 225: DOWN 1.2 percent at 38,678.04 (close) Hong Kong – Hang Seng Index: DOWN 1.6 percent at 22,576.98 (close)Shanghai – Composite: FLAT at 3,350.78 (close)New York – Dow: UP 0.2 percent at 44,627.59 (close)Euro/dollar: UP at $1.0443 from $1.0428 on WednesdayPound/dollar: UP at $1.2615 from $1.2582Dollar/yen: DOWN at 150.06 from 151.40 yenEuro/pound: DOWN at 82.79 pence from 82.81 pence West Texas Intermediate: UP 0.3 percent at $72.28 per barrelBrent North Sea Crude: DOWN 0.4 percent at $75.75 per barrel

US President Donald Trump suggested on Wednesday that a trade deal was “possible” with China — a key target in the US leader’s tariffs policy.In 2020, the United States had already agreed to “a great trade deal with China” and a new deal was “possible,” Trump told reporters aboard Air Force One.Asked about the comments, Beijing’s foreign ministry said Thursday the two countries should handle trade tensions with “mutual respect.”One month into his second term in office, Trump has threatened sweeping tariffs on allies and adversaries alike — targeting China as well as neighbors Canada and Mexico, and the European Union — and using levies as his main policy tool for lowering the massive US trade deficit. At the beginning of February, he slapped additional customs duties of 10 percent on all products imported from China.Beijing’s foreign ministry said Thursday that China and the United States “should resolve their concerns through dialogue and consultation based on equality and mutual respect.””Trade and tariff wars have no winners and only serve to damage the interests of people all over the world,” ministry spokesman Guo Jiakun said at a regular press briefing.At a separate news conference, China’s commerce ministry said Beijing “urges the US side not to wield the big stick of tariffs at every turn, using tariffs as a tool to engage in coercion all around.”Trump is also threatening to impose 25 percent tariffs on all imported cars, and similar or higher duties on pharmaceuticals and semiconductors as he turns up the heat on some of the biggest US trading partners. He also told journalists aboard Air Force One on Wednesday that his administration was considering lumber tariffs of “maybe 25 percent” in the coming months.The president initially announced tariffs of 25 percent on all Canadian and Mexican imports, before U-turning hours before they were due to come into effect, granting a one-month reprieve in principle until March 1.And he signed executive orders last week imposing new 25 percent tariffs on steel and aluminum imports, due to come into effect on March 12.- Exemptions requested -Experts have warned it is often Americans who pay the costs of tariffs on US imports — not the foreign exporter.Between Washington and Beijing, “there’s a little bit of competitiveness, but the relationship I have with President Xi (Jinping) is, I would say, a great one,” Trump told reporters on Wednesday.In addition to the leaders of France and Britain, Trump said Xi would also eventually be coming to Washington to meet with him.Beijing has responded to the US tariffs with customs duties of 15 percent on coal and liquefied natural gas and 10 percent on oil and other goods, such as agricultural machinery and vehicles.China is the country with the largest trade surplus with the United States in goods — $295.4 billion in 2024, according to the Bureau of Economic Analysis, which reports to the US Department of Commerce. US ally Japan last week said it had asked the United States to be exempt from Trump’s tariffs on steel and aluminum exports, and has underlined the importance of its auto industry.Tokyo’s trade minister is arranging a visit to the United States in the coming weeks to further push for exemptions, Japanese media reported Thursday.Yoji Muto was expected to meet US officials including new commerce secretary Howard Lutnick before March 12, when the 25 percent tariffs on steel and aluminum imports were set to come into effect, Kyodo News said.Trump’s latest remarks on tariffs came as the European Union’s trade chief vowed Wednesday that the bloc would respond “firmly and swiftly” to protect its interests if Washington imposes tariffs on EU goods.Maros Sefcovic rejected Trump’s claim that US-EU trade ties were unfair, calling them the “very definition of a win-win partnership.”But he signaled the EU’s willingness for dealmaking, such as the possibility of reducing or eliminating tariffs on autos and other products.”If we are going to talk about lowering the tariffs, even eliminating the tariffs, let’s say for industrial products, this would be something which we are ready to discuss,” he said.Within the 27-nation EU, Germany has by far the largest trade surplus with the United States, largely thanks to its automobile industry and chemical giants such as Bayer and BASF, according to the European statistics agency, Eurostat. burs-mjw/sco/fox

Equity markets turned negative on Thursday and gold hit a record high amid Federal Reserve concerns that US President Donald Trump’s tariffs and immigration measures could reignite inflation.The losses come despite a second-straight record close on Wall Street and follow a recent rally as traders have rolled with the president’s latest tariff salvos, betting that they are being used as negotiating tactics.Minutes from the US central bank’s January meeting suggested officials were not likely to cut interest rates any time soon — having reduced them at three successive meetings — citing worries about the impact of Trump’s policies.Decision makers expected that “under appropriate monetary policy, inflation would continue to move toward (their target of) two percent, although progress could remain uneven”, the minutes said.But without referring to Trump by name, the minutes said policymakers raised concerns that “the effects of potential changes in trade and immigration policy” could complicate the disinflation process.The remarks come after a number of economists warned that the Republican’s pledge to ramp up tariffs on trade partners while slashing taxes, regulations and immigration could fan inflation.Traders see a roughly 80 percent likelihood the Fed will make no more than two quarter-point cuts this year, according to CME Group. The minutes also revealed that officials were mindful that the debt ceiling needed to be lifted to prevent the country from defaulting on its obligations, which could deal a hefty blow to the global economy.The government hit its limit in January but the Treasury has managed to keep things ticking over by using so-called extraordinary measures.”The overall tone of the meeting minutes was unsurprising, considering that Fed chair Jerome Powell had said on no less than five separate occasions during the January press conference that the committee did not need to be ‘in a hurry’ to make further adjustments to policy rates,” said Ryan Wang, US economist at HSBC.- Strong yen -While all three main indexes in New York rose, with the S&P 500 at another all-time peak, Asia stumbled.Hong Kong, which has climbed around 15 percent so far this year, dropped more than one percent as the China tech surge came to an end.Tokyo was weighed down by a stronger yen, which briefly broke below 150 per dollar as the Bank of Japan eyes more interest rate hikes, while Sydney, Seoul, Wellington, Taipei, Mumbai, Bangkok, Singapore and Manila also retreated. Shanghai was given a fillip and pared early losses to end flat after Trump suggested on Wednesday that a trade deal with China was “possible”.He also told journalists aboard Air Force One on Wednesday that he was considering lumber tariffs of “maybe 25 percent” in the coming months.London opened lower, although Paris and Frankfurt rose.And gold hit a record above $2,954 as investors rushed into the safe-haven commodity, which is sought out in times of uncertainty and as central banks stock up.Dealers are keeping a nervous eye on developments in Europe after Brussels and Kyiv were excluded from the first high-level talks between the United States and Russia since the start of the war in Ukraine.Trump also raised eyebrows by calling Ukrainian leader Volodymyr Zelensky a “dictator” on Wednesday, widening a personal rift with major implications for efforts to end the conflict triggered by Russia’s invasion three years ago.The United States has provided essential funding and arms to Ukraine but Trump made an abrupt policy shift by opening talks with Moscow just weeks after he returned to the White House.”A Dictator without Elections, Zelenskyy better move fast or he is not going to have a Country left,” Trump wrote on his Truth Social platform.Zelensky was elected in 2019 for a five-year term and has remained leader under martial law imposed as his country fights for its survival.- Key figures around 0815 GMT -Tokyo – Nikkei 225: DOWN 1.2 percent at 38,678.04 (close) Hong Kong – Hang Seng Index: DOWN 1.6 percent at 22,576.98 (close)Shanghai – Composite: FLAT at 3,350.78 (close)London – FTSE 100: DOWN 0.3 percent at 8,690.64Euro/dollar: UP at $1.0440 from $1.0428 on WednesdayPound/dollar: UP at $1.2600 from $1.2582Dollar/yen: DOWN at 150.10 from 151.40 yenEuro/pound: DOWN at 82.80 pence from 82.81 pence West Texas Intermediate: DOWN 0.4 percent at $71.95 per barrelBrent North Sea Crude: UP 0.3 percent at $76.25 per barrelNew York – Dow: UP 0.2 percent at 44,627.59 (close)