Asia-Pacific stock markets opened with mixed results on Thursday as investors weighed the impact of new U.S. tariffs on South Korea and awaited the Bank of Japan’s latest policy decision. The overall mood was cautious, with some regional indices managing small gains while others faced downward pressure. In South Korea, the Kospi index fell 0.14% as of 8:10 a.m. Singapore time, following U.S. President Donald Trump’s announcement of a 15% tariff on the country’s exports to the United States.
The small-cap Kosdaq remained flat. Japanese markets are closely watching the Bank of Japan, which is expected to hold its short-term interest rates steady at 0.5% for the fourth consecutive time when its two-day policy meeting concludes later today. Australia’s S&P/ASX 200 benchmark declined by 0.53%, while futures for Hong Kong’s Hang Seng index pointed to a weaker open.
Investors are also considering comments from U.S. Federal Reserve Chair Jerome Powell, who emphasized that the central bank is assessing the impact of President Trump’s tariff policies before making any changes to interest rates.
U.S. tariffs affect Asia-Pacific markets
Powell noted that higher tariffs have begun to affect prices of some goods, but their overall effects on economic activity and inflation remain uncertain.
Indian stock market benchmarks, the Sensex and Nifty 50, are poised for a lower start on Thursday. The negative sentiment stems from the U.S. imposing 25% tariffs on Indian goods. Gift Nifty trends suggest a gap-down opening, trading around 24,673, nearly 196 points lower than Nifty futures’ previous close.
In corporate news, Nissan Motor shares surged by up to 4.9% on Thursday, despite the company reporting an operating loss of 79,124 million yen ($530.17 million) for its first fiscal quarter ended in June. The loss was attributed to lower sales volumes, adverse exchange rate movements, and the ongoing U.S. tariffs. As the market navigates through uncertainties driven by geopolitical trade tensions and monetary policy decisions, investors and policymakers remain vigilant.