By Marketwatch and Associated Press
China stocks led Asian markets higher Tuesday, despite fresh threats from President Donald Trump to raise tariffs on imports from that country.
Trump on Monday told reporters that the U.S. would raise tariffs against China if President Xi Jinping did not attend the G-20 meeting later this month in Japan. There have been no indications that Xi is planning on skipping the summit, and he is expected to meet with Trump there. Trump also predicted that tariffs would drive China to make a trade deal.
“The China deal is going to work out. You know why? Because of tariffs,” Trump said.
The Shanghai Composite /zigman2/quotes/210598127/delayed CN:SHCOMP -0.56% surged 2.6% and the smaller-cap Shenzhen Composite /zigman2/quotes/210598015/delayed CN:399106 -1.11% soared 3.8%, while Hong Kong’s Hang Seng Index /zigman2/quotes/210598030/delayed HK:HSI -0.07% gained 0.8%. China stock gains centered on infrastructure names, after Beijing reportedly asked local governments to fund new big projects. Shares of China Railway Construction Corp. /zigman2/quotes/210155888/delayed HK:1186 -1.60% surged nearly 8%.
Japan’s Nikkei /zigman2/quotes/210597971/delayed JP:NIK +1.87% closed up 0.3%, while South Korea’s Kospi /zigman2/quotes/210598069/delayed KR:180721 +0.04% advanced 0.7%, and benchmark indexes in Taiwan /zigman2/quotes/210597977/delayed TW:Y9999 +0.41% and Singapore /zigman2/quotes/210597985/delayed SG:STI -0.27% rose while Indonesian stocks /zigman2/quotes/210597981/delayed ID:JAKIDX +0.51% finished flat. Australia’s S&P/ASX 200 /zigman2/quotes/210598100/delayed AU:XJO +0.14% closed up 1.5%.
Among individual stocks, Japan Steel /zigman2/quotes/207991538/delayed JP:5631 +2.36% rose in Tokyo trading, along with Mitsubishi UFJ /zigman2/quotes/207520099/delayed JP:8306 +1.48% , while Fast Retailing /zigman2/quotes/200663563/delayed JP:9983 +3.45% slid. In Hong Kong, AAC /zigman2/quotes/201441510/delayed HK:2018 -0.66% and Sunny Optical /zigman2/quotes/206687505/delayed HK:2382 +0.87% rose, and LG Electronics /zigman2/quotes/209966407/delayed KR:066570 +0.87% surged in South Korea. BHP /zigman2/quotes/201448516/delayed AU:BHP -1.23% and Beach Energy /zigman2/quotes/200513631/delayed AU:BPT -2.90% advanced in Australia.