Asian stocks gain after US, China announce truce on tariffs

FILE - In this Sept. 5, 2019, file photo, an investor adjusts his hat as he monitors stock prices at a brokerage house in Beijing. Asian stock markets have risen after Washington and Beijing announced a truce on tariff hikes in a trade war. Benchmarks in Shanghai, Hong Kong and Seoul advanced. Japanese markets were closed for a holiday. (AP Photo/Mark Schiefelbein, File)

BEIJING — Asian stock markets have risen after Washington and Beijing announced a truce on tariff hikes in a trade war.

Benchmarks in Shanghai, Hong Kong and Seoul advanced. Japanese markets were closed for a holiday.

President Donald Trump agreed Friday to put off planned tariff hikes this week on Chinese goods in a fight over Beijing's trade surplus and technology plans. In exchange, he said China would buy American farm goods. But the two sides reported no progress on basic disputes that sparked the 15-month-old fight that threatens global economic growth.

Friday's truce "has simply temporarily halted the escalation in China-U.S. trade tensions," said Philip Wee and Eugene Leow of DBS Group in a report.

"Longer-term concerns remain that the trade war may widen from tariffs towards impeding investment flows," they said. The truce "could also see the Trump administration turning its tariff war towards the Eurozone."

The Shanghai Composite Index rose 1.1% to 3,006.64 and Hong Kong's Hang Seng advanced 0.9% to 26,535.44. Seoul's Kospi added 1.2% to 2,068.06.

Sydney's S&P-ASX 200 gained 0.5% to 6,642.60. Benchmarks in Taiwan, New Zealand and Southeast Asia also advanced.

Also Monday, China reported exports to the United States fell 17.8% in September from a year earlier to $36.5 billion. Imports of American goods sank 20.6% to $10.6 billion.

China's global exports fell 1.4% to $218.1 billion. Imports fell 5.8% to $178.5 billion.

On Wall Street, the benchmark Standard & Poor's 500 Index ended Friday with its first weekly gain in four weeks.

The S&P 500 added 1.1%, to 2,970.27. Earlier it had been up 1.9%. The Dow Jones Industrial Average rose 1.2% to 26,816.59 and the Nasdaq gained 1.3% to 8,057.04.

ENERGY: Benchmark U.S. crude lost 29 cents to $54.41 per barrel in electronic trading on the New York Mercantile Exchange. The contract gained $1.15 on Friday to close at $54.70. Brent crude, used to price international oils, declined 32 cents to $60.19 per barrel in London. It advanced $1.41 the previous session to $60.51.

CURRENCY: The dollar declined to 108.34 yen from Friday's 108.38 yen. The euro slipped to $1.1030 from $1.1036.

Other News

Asian stocks drift pending fresh news; oil takes a breather

Aug 16, 2016

Asian stock markets drifted sideways on Tuesday as the price of oil took a breather from a three-day rally

Insurers continue to abandon ACA exchanges, limiting choice

Aug 16, 2016

Aetna will abandon for next year Affordable Care Act insurance exchanges in more than two-thirds of the counties where it sells coverage, making it the latest major health insurer to cuts choices in many markets

Asian stocks climb on signs US rate hike off table for now

Aug 18, 2016

Asian stocks rose Wednesday after Wall Street edged higher on news the U.S. Federal Reserve is in no hurry to raise interest rates

The Budget Report seeks to provide comprehensive coverage and analysis on the current economic, financial issues around the world. First hand finance and economic news all day, every day.