Glimmers of Trade Optimism Lift Asian Markets, But Concrete Progress Still Elusive
| Action Insight Daily Report 4-25-25 |
Glimmers of Trade Optimism Lift Asian Markets, But Concrete Progress Still Elusive |
There’s a cautious tone of optimism in Asian markets today, though gains are largely concentrated in Japan, South Korea, and Hong Kong. This moderate rally is being supported by a handful of headlines suggesting incremental movement in global trade diplomacy, even if concrete progress remains limited. One of the more notable developments comes from a Bloomberg report indicating that China is considering suspending its 125% tariffs on certain US imports, including medical equipment, industrial chemicals, and possibly even aircraft leases. While such a move would mark a significant de-escalation, it remains speculative at this stage. Adding to the mix, U.S. President Donald Trump pushed back on China’s claims that no talks were underway between Washington and Beijing. Trump insisted that “they had a meeting this morning,” although it was unclear who “they” referred to—even he conceded the ambiguity. With no official confirmation from either side, the market reaction has been understandably restrained. More tangible, however, was news from Washington of a “very successful” trade meeting between the US and South Korea. Treasury Secretary Scott Bessent expressed unexpected optimism following the bilateral “2+2” talks, suggesting that technical-level negotiations could begin as early as next week. South Korea is hoping to strike a deal with the US by July to avert impending tariffs. The news gave a noticeable lift to South Korean shipbuilding stocks, a sector highly sensitive to global trade developments.... |
USD/CAD Daily Outlook Daily Pivots: (S1) 1.3830; (P) 1.3864; (R1) 1.3889; More... Intraday bias in USD/CAD stays mildly on the upside at this point. Recovery from 1.3780 short term bottom could extend higher. However, upside should be limited by 1.4150 support turned resistance (38.2% retracement of 1.4791 to 1.3780 at 1.4166. On the downside, firm break of 1.3780 will resume the whole fall from 1.4791. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:01 | GBP | GfK Consumer Confidence Apr | -23 | -22 | -19 | | 23:30 | JPY | Tokyo CPI Y/Y Apr | 3.50% | 2.90% | | 23:30 | JPY | Tokyo CPI Core Y/Y Apr | 3.40% | 3.20% | 2.40% | | 23:30 | JPY | Tokyo CPI Core-Core Y/Y Apr | 3.10% | 2.20% | | 06:00 | GBP | Retail Sales M/M Mar | -0.60% | 1% | | 12:30 | CAD | Retail Sales M/M Feb | -0.40% | -0.60% | | 12:30 | CAD | Retail Sales ex Autos M/M Feb | 0.00% | 0.20% | | 14:00 | USD | UoM Consumer Sentiment Index Apr | 50.7 | 50.8 | | 14:00 | USD | UoM Consumer Inflation Expectations Apr | 6.70% |
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