Asia-Pacific markets mostly rise after tech rally pushes Wall Street higher

Shares of Boeing Co. fell 2.6% in after-hour trading after Bloomberg reported that China had ordered all airlines to halt deliveries of its jets amid an intense trade war with the U.S.

Beijing ordered Chinese carriers to pause any purchase of aircraft-related equipment and parts from U.S. companies, Bloomberg reported Tuesday, citing people who are familiar with the matter.

The order came after China and the U.S. have engaged in a tit-for-tat tariff war which saw President Donald Trump slap a cumulative levy of 145% on China, drawing retaliation from Beijing with new duties of 125% on U.S. goods.

— Anniek Bao

India's wholesale inflation reading eased to 2.05% year-on-year in March, down from 2.38% the month prior.

This is the lowest reading since November 2024 and is marginally below than the 2.5% forecast by economists in a Reuters poll.

India's wholesale inflation was driven by higher prices of manufactured of food products and textiles according to data released by India's Ministry of Commerce and Industry.

The Indian rupee strengthened 0.26% against the U.S. dollar to 85.7975 shortly after the inflation numbers were released.

India's consumer price inflation figures for March is expected later in the day. Economists polled by Reuters have forecast a reading of 3.6%, compared to 3.61% the month before.

— Amala Balakrishner

Indian auto stocks surged Tuesday following U.S. President Donald Trump's comments on a potential exemption in auto-related tariffs.

He also mentioned his intent to "help some of the car companies."

The Nifty Auto Index - which captures 15 automotive and auto parts companies - was up 3.17% as at 12.16 p.m. Indian Standard Time.

The top movers on the index were Samvardhana Motherson International which surged 7.06%, Bharat Forge which advanced 5.38% and Tata Motors which increased 4.5%.

Auto stocks in other Japan and South Korea also rose.

The strongest moves were seen in Hyundai Motor, which ended the day 4.29% higher and Suzuki Motor which added 4.74%.

— Amala Balakrishner

UBS has slashed its 2025 growth forecast for China to 3.4% from 4%, on the assumption that the tariff hikes between the superpower and the United States will persist, pushing Beijing to roll out additional stimulus.

The Swiss investment bank retained its 2026 growth forecast for China at 3%, it said in a report Tuesday.

Looking ahead, UBS acknowledged that it is difficult to predict how the tariffs between the U.S. and China could evolve.

Still, the bank's analysts noted that it is possible for the two superpowers to "roll off some of the recent tariff hikes in the next month or two".

UBS' move comes alongside downgrades to China's growth outlook by other investment banks in the last few weeks.

Goldman Sachs lowered its forecast for China's gross domestic product this year to 4.0% from 4.5%, while analysts from Citi analysts cut their forecast by 0.5 percentage points to 4.2%.

— Amala Balakrishner

Singapore's 30-stock benchmark Straits Times Index rose 1.83% to 3,613.74 as of 12.22 p.m. local time Tuesday, its highest level since April 4.

The increase was broad-based across industries, with gains led by the technology, financials and real estate sectors.

The best performing stocks on the index include Frasers Logistics & Commercial Trust which rose 5.49%, Mapletree Logistics Trust which added 4.55% and Singapore Exchange which increased 3.55%.

— Amala Balakrishner

Indian markets surged over 2% in early trade Tuesday, extending gains from the previous session.

The benchmark Nifty 50 rose 2.12% as at 9.45 a.m. Indian Standard Time.

Still, the index is down 1.49% since the start of this year.

Meanwhile, the broader BSE Sensex index was up 2.10%.

Strong moves were seen in Tata Motors which surged 5.05%, Mahindra and Mahindra which increased 4.04% and Adani Power which rose 3.94%.

— Amala Balakrishner

Hong Kong's Hang Seng Tech Index fell 1.08% as at 11 a.m. local time, reversing course from five straight sessions of gains.

Among the worst performers in the index were Semiconductor Manufacturing International Corporation which lost 1.9%, Xpeng which fell 3% and Li Auto which dropped 2.75%.

The Hang Seng Tech Index ETF shows the day's moves:

Meanwhile, Hong Kong's Hang Seng Index edged up 0.06% in choppy trade.

— Amala Balakrishner

Shares of Tencent-backed China Ruyi Holdings plunged as much as 11.26% Tuesday, following its announcement of a 2.34 billion Hong Kong dollars ($301.74 million) convertible bond issuance.

The Chinese streaming platform will use the funds raised for its growth and expansion efforts such as in content production and the purchase of drama scripts, it reported in a regulatory filing.

Tencent holds a 16.4% stake in China Ruyi, making it the company's second largest shareholder.

— Amala Balakrishner

Japanese and South Korean auto stocks rose in early trade Tuesday, after U.S. President Donald Trump's comments on "help[ing] some of the car companies."

"I'm looking for something to help some of the car companies, where they're switching to parts that were made in Canada, Mexico and other places, and they need a little bit of time because they're going to make them here," Trump said in a meeting with Salvadoran President Nayib Bukele in the Oval Office Monday.

While he did not elaborate on his upcoming plans, Trump noted that the companies "need a little bit of time."

Suzuki Motor led gains in Japanese automakers, surging 5.28% as at 9.21 a.m. local time.

Other stocks that logged steep increases include Mazda Motor which advanced 5.08%, Honda Motor, which picked up 5.05%, Toyota Motor which rose 4.83%.

Over in South Korea, Kia Corp added 2.89% while Hyundai Motor moved up 2.57%.

— Amala Balakrishner

Federal Reserve Governor Christopher Waller said Monday that inflation from Trump's tariffs likely will be "transitory," and indicated that interest rate reductions are still on the table.

In a speech delivered in St. Louis, the central bank official broke down tariffs into two scenarios, one in which they are higher and longer lasting and the other whether they are negotiated lower. In either case, Waller said rate cuts are likely to boost growth under the higher-tariff scenario or as "good news" reductions under the reduced level.

"I can hear the howls already that this must be a mistake given what happened in 2021 and 2022. But just because it didn't work out once does not mean you should never think that way again," Waller said of the "transitory" call.

— Jeff Cox