On Wednesday and Thursday, five firms that account for about a quarter of the US benchmark — Microsoft Corp., Alphabet Inc., Meta Platforms Inc., Amazon.com and Apple Inc. — will report results. A gauge of the “Magnificent Seven” megacaps jumped 2.6%.
On trade, Trump told reporters on Monday that “I really feel good” about a deal with China, after officials unveiled a slew of agreements to ease tensions.
Trump is in Tokyo Tuesday to meet with Japanese leaders.
While markets cheered the latest developments, some analysts cautioned the deal now teed up for Trump and Xi to sign in South Korea ignored thorny issues.
Fundamental fights over national security appeared untouched, they said, along with Trump’s stated core mission of rebalancing trade. Making that harder, Chinese investment into America remains heavily restricted.
“While these developments have lifted market spirits, analysts remain skeptical that the underlying issues — such as national security and tech competition — will be fully resolved,” said Fawad Razaqzada at City Index and Forex.com. “Nevertheless, traders have embraced the risk-on mood.”
Chinese bonds will also be in focus Tuesday after reports by state-owned media that the People’s Bank of China will restart its sovereign bond trading operations, a move that analysts said may be aimed at supporting the debt market and boosting liquidity.
Corporate News:
-
Domino’s Pizza Enterprises Ltd. shares soared after the Australian Financial Review reported Bain Capital is considering buying the fast-food chain in a deal worth as much as A$4 billion ($2.6 billion).
-
Nidec Corp. shares tumbled as much as their daily limit of 19% on Tuesday as the company is set to be removed from the Nikkei 225 Stock Average and was flagged for special oversight by the Tokyo Stock Exchange.
-
CSL Ltd. shares slumped after Australia’s largest drugmaker scrapped plans to complete a demerger of its Seqirus vaccines business by June 2026, citing heightened volatility in the US influenza vaccine market that it said would prevent the move from realizing full value for shareholders.
Key Events This WeekFor top events, click here.
Some of the main moves in markets:
Stocks
-
S&P 500 futures were little changed as of 9:56 a.m. Tokyo time
-
Hang Seng futures rose 0.4%
-
Nikkei 225 futures (OSE) fell 0.3%
-
Japan’s Topix fell 0.5%
-
Australia’s S&P/ASX 200 fell 0.4%
-
Euro Stoxx 50 futures were little changed
Currencies
-
The Bloomberg Dollar Spot Index was little changed
-
The euro was little changed at $1.1656
-
The Japanese yen rose 0.2% to 152.52 per dollar
-
The offshore yuan was little changed at 7.1048 per dollar
-
The Australian dollar was little changed at $0.6559
Cryptocurrencies
-
Bitcoin fell 0.4% to $113,955.01
-
Ether fell 0.3% to $4,116.02
Bonds
-
The yield on 10-year Treasuries was little changed at 3.98%
-
Japan’s 10-year yield declined 1.5 basis points to 1.650%
-
Australia’s 10-year yield declined two basis points to 4.16%
Commodities
-
West Texas Intermediate crude fell 0.2% to $61.19 a barrel
-
Spot gold rose 0.6% to $4,006.35 an ounce
This story was produced with the assistance of Bloomberg Automation.
