Asian Stocks Rally on US-China 90-Day Tariff Truce, India-Pakistan Ceasefire

Asian stock markets surged following the announcement of a 90-day truce in the US-China trade war, with both countries agreeing to significantly reduce retaliatory tariffs to 30 percent for the US and 10 percent for China. This temporary easing, formalized after high-level talks in Geneva, has been welcomed as a positive step toward a sustainable, long-term economic relationship, with new mechanisms for ongoing dialogue also established. The trade détente, combined with a ceasefire agreement between India and Pakistan, bolstered investor confidence across Asia, leading to strong gains in key indices like Hong Kong's Hang Seng and South Korea's KOSPI, while oil prices rose on expectations of increased global demand. Despite these improvements, analysts urge caution due to unresolved geopolitical tensions, including the Russia-Ukraine conflict and potential volatility in US-China relations. The market rally reflects relief over reduced global trade and security risks, though experts emphasize the need for sustained progress to maintain stability. Overall, the developments have created a more optimistic outlook for Asian markets and global economic cooperation in the near term.