Expect significant new tariffs on Chinese imports and moderate levies on goods from other nations , as President-elect Donald Trump rolls out his protectionist agenda. However, with his preference for chaotic policymaking and sudden shifts , there’s uncertainty on how soon these import taxes will actually hit. Dubbed “ Tariff Man ,” Trump aims to use tariffs both strategically and tactically . He’s mentioned taxing all Chinese goods up to 60% and potentially setting 10%-20% tariffs on imports globally , but details on these plans remain vague . Key players within Trump’s team are divided: Robert Lighthizer , a staunch tariff advocate, sees permanent duties as crucial to balance US trade , while others, like billionaires John Paulson and Scott Bessent , view tariffs as temporary leverage. Trump’s previous administration had mixed feelings, especially on national security-related trade limits , which he sometimes dismissed, favoring an “open for business” approach. High-profile busin
Asian share markets showed mixed performance on Monday, as China’s continued rally contrasted with a sharp drop in Japan's Nikkei. Geopolitical tensions in the Middle East and concerns over Japan’s interest rate policies weighed on investor sentiment.
China’s blue-chip CSI 300 Index climbed another 3.0%, adding to last week's impressive 16% surge, while the Shanghai Composite rose 4.4%, continuing its upward momentum. This extended rally was fueled by Beijing's aggressive stimulus measures, including mortgage rate cuts and liquidity support, designed to combat the country’s economic downturn.
Meanwhile, the Nikkei tumbled 4.1% amid investor uncertainty over new Prime Minister Shigeru Ishiba’s stance on monetary policy. While Ishiba had previously criticized the Bank of Japan’s (BOJ) easy policies, he adopted a more conciliatory tone over the weekend, stating that monetary policy must remain accommodative given the current state of Japan’s economy. This helped the yen nudge up 0.2% to ¥142.52 after its recent slide.
Despite the decline in Japan, China's rally helped lift MSCI's broadest index of Asia-Pacific shares outside Japan by 0.3%, bringing it to a seven-month high.
In currency markets, the dollar index remained flat at 100.41, while gold hit record highs of US$2,685 an ounce, driven by a softer dollar and lower bond yields. Oil prices also crept higher amid Middle East tensions, with Brent rising 61 cents to US$72.59 per barrel.
Looking ahead, markets will focus on key US economic data this week, including the payrolls report, which may determine whether the Federal Reserve delivers another 50-basis-point rate cut in November.
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