Asian Stocks Rise on US-China Tariff Truce, RBA Rate Cut

Asian stocks rose led by Japan's Nikkei hitting record highs after US President Donald Trump extended the tariff truce with China by roughly three months, easing near-term trade tensions and boosting market sentiment. The extension, which also saw Beijing delay its tariff increases on US goods, was viewed as a strategic pause to facilitate ongoing negotiations rather than a sign of goodwill. Technology shares gained, supported by Trump signaling willingness to allow some US chip sales to China, alleviating concerns about escalating technology sanctions. While regional currencies remained mostly steady, the US dollar held gains amid speculation on upcoming US inflation data that could influence Federal Reserve rate decisions. Despite the positive market reaction, investors remained cautious given ongoing uncertainties surrounding the trade conflict and awaited key US consumer price index data. Australia’s central bank cut its interest rate, further supporting local markets, while other Asian economies like Indonesia saw rallies tied to rate cuts and trade deal optimism.