Asia-Pacific Markets Close Mixed Amid Shifts in US Tariff Policy and Earnings Focus

Asia-Pacific markets ended Tuesday on a mixed note as investors digested signals of a potential softening in the US administration’s auto tariff stance and assessed a wave of corporate earnings results.

Market sentiment received some relief after reports indicated that US President Donald Trump’s administration may reduce the impact of tariffs on imported automobiles. The policy adjustment follows ongoing trade negotiations and global market concerns about the economic fallout from escalating tariff measures. Treasury Secretary Scott Bessent said the US is now focusing on trade deals with multiple countries while maintaining that China should take the first step to de-escalate ongoing tensions.

In China, the CSI 300 Index dipped 0.17% to 3,775.08, while Hong Kong’s Hang Seng Index edged up 0.16% to 22,008.11. South Korea’s Kospi rose 0.65% to 2,565.42, and the small-cap Kosdaq gained nearly 1%. Australia’s S&P/ASX 200 posted one of the strongest performances in the region, rising 0.92% to 8,070.60. Indian equities were relatively stable, with the Nifty 50 flat and the BSE Sensex up 0.17%. Japanese markets remained closed for a public holiday.

Investor focus also turned to corporate earnings, notably from Europe’s largest lender HSBC, whose first-quarter performance exceeded expectations. The bank posted a pre-tax profit of $9.48 billion, beating analyst estimates by over 21%, despite a year-over-year decline. Its Hong Kong-listed shares jumped over 3% following the announcement of a $3 billion share buyback plan.

In the US, Wall Street offered a mixed lead. The S&P 500 ticked up by 0.06% to 5,528.75, its fifth consecutive gain. The Dow Jones Industrial Average climbed 0.28% to 40,227.59, while the Nasdaq Composite declined by 0.1%. Several major tech companies, including Amazon and Microsoft, saw minor fluctuations ahead of quarterly earnings releases. Broader investor caution stemmed from market volatility tied to trade policies and uncertainty surrounding economic data.

Elsewhere, Germany’s DAX rose 0.7%, while other European indices were largely unchanged. US futures pointed to a slightly higher open. Meanwhile, commodities saw declines, with West Texas Intermediate crude falling to $61.32 per barrel and gold prices retreating nearly 1%.

With input from CNBC, the Associated Press, and Bloomberg.