Asian Stocks Fall Amid US Tariff Deadline, Oil Drops After OPEC+ Output Boost

Asian equity markets have declined amid escalating global trade tensions driven by U.S. President Donald Trump's aggressive tariff policies, with major regional indexes such as Hong Kong's Hang Seng and Japan's Nikkei seeing notable losses. Trump has threatened to impose a 50% tariff on copper imports and signaled no extensions for the August 1 tariff deadline, also warning of additional tariffs on countries aligned with the BRICS group, heightening market uncertainty. This has caused volatility in commodity markets, including a retreat in copper and oil prices following OPEC+ production increases, as investors weigh the potential impact on global demand. Despite some modest gains in Japan and South Korea, overall investor sentiment remains cautious, reflected in declining U.S. equity futures and weakening regional currencies. Analysts note that markets have so far responded with indifference to tariff headlines, but warn that sharper reactions could occur if economic data weakens or inflation rises. The approaching July 9 deadline for tariff notifications is expected to increase market volatility as investors monitor developments in U.S. trade policy and negotiations.