Investing.com– Most Asian stocks rose on Monday amid some hopes that U.S. President-elect Donald Trump will not adopt an as harsh rhetoric against China as feared when he takes office later in the day.
Regional stocks took a positive lead-in from Wall Street on Friday, as a slew of positive bank earnings and growing hopes of interest rate cuts sparked strong gains in U.S. stocks.
U.S. stock futures were less upbeat in Asian trade on Monday, falling slightly amid some caution over Trump. U.S. markets will also be closed on Monday for Martin Luther King, Jr. Day.
Asia stocks rise amid Trump speculation
Most Asian stocks rose, with Japanese and Hong Kong shares in the lead. Japan’s Nikkei 225 and TOPIX indexes rallied 1.5% each, while Hong Kong’s Hang Seng index added 1.6%.
Hopes of a less harsh rhetoric against China grew after Trump did not make any mention of his plans for trade tariffs during a victory lap rally in Washington on Sunday. But the President-elect did reiterate plans to crack down on immigration and to reduce government oversight of domestic companies.
Trump also held a call with Chinese President Xi Jinping last week, spurring hopes that Sino-U.S. relations will improve under the incoming President.
Fox News Digital reported that Trump was planning to sign a record-high number of executive orders when he takes office on Monday, some of which could still include increased trade tariffs against China.
The President-elect had vowed to impose an up to 60% duty on all Chinese imports, while also targeting Mexico and Canada with heightened tariffs.
