Asian stocks climbed on Monday, buoyed by news that the U.S. would exempt electronics from its latest round of tariffs, easing immediate trade war concerns. However, the dollar slipped and gold surged to a new high as investors remained wary that the reprieve might be short-lived.
Markets regained some composure after a turbulent week, following Friday’s announcement from the White House that smartphones, computers, and other electronic devices would not be subject to retaliatory tariffs.
The move injected a dose of optimism into markets rattled by President Trump’s shifting trade policy and escalating tensions with China.
Wall Street responded positively, with all three major indexes closing higher, further supported by a senior Federal Reserve official’s reassurance that the central bank was ready to act to stabilize financial markets.
Asian markets mirrored the upbeat mood, led by tech gains that pushed Hong Kong up more than 2%. Tokyo, Shanghai, Sydney, Seoul, Singapore, Wellington, Taipei, and Manila also saw strong advances.
Gold Surges to Record High Amid Trade Policy Uncertainty
Gold soared to a new all-time high on Monday as investors flocked to safe-haven assets in response to growing uncertainty over President Trump’s rapidly shifting trade policies.
The precious metal climbed above $3,245 an ounce, surpassing Friday’s record and capping off a week in which it rose more than 6%, fueled in part by continued weakness in the U.S. dollar.
“Gold appears to be the standout winner amid the ongoing debate surrounding the dollar,” said Chris Weston, head of research at Pepperstone Group Ltd. “We’ve seen gold prices in absolute beast mode.”
