Seoul Gazette - Asian and European stocks rise in wake of Wall Street rally

US stocks rallied for a third straight session on Thursday, shrugging off signs that US trade deals with China and the European Union aren't imminent despite promising signs elsewhere.

Beijing said on Thursday any claims of ongoing trade talks with Washington were "groundless" after US President Donald Trump played up the prospects of a deal to lower the 145 percent tariffs he imposed on most Chinese exports.

France's economy minister Eric Lombard said a trade deal between the United States and the European Union was also a way off.

However, global markets appear to have brushed aside the lack of progress.

"There are mixed signals about whether there have been some talks about trade between the US and China," said Lloyd Chan, a senior currency analyst at MUFG.

"Nonetheless, the trade war and US policy-related uncertainty have persisted. Asian economies still face the risk of higher reciprocal tariffs."

China's top leaders urged more support for the economy and opposed "unilateral bullying" in global trade, according to a readout of a meeting published by state media on Friday.

Tokyo jumped 1.9 percent and Hong Kong was up 0.3 percent, while Shanghai was flat.

The Nikkei rise came despite struggling Japanese auto giant Nissan issuing a stark profit warning on Thursday, forecasting a huge loss of up to $5.3 billion in the 2024-25 financial year.

The markets see that the company "is moving ahead toward turnaround", said Bloomberg Intelligence analyst Tatsuo Yoshida, as Nissan shares climbed more than 1.6 percent on Friday.

"Booking significant impairment losses and restructuring charges is a necessary step toward Nissan Motor's turnaround."

Japanese media reported on Thursday that a second round of trade talks in Washington was set for May 1, which will be closely watched as a barometer for efforts by other countries seeking tariff relief.

Seoul jumped one percent after US Treasury Secretary Scott Bessent said a trade "understanding" between South Korea and the United States could be reached by next week.

Taipei, Wellington, Singapore, Manila, Bangkok and Jakarta also climbed.

Markets were also responding to strong earnings from Google parent Alphabet, which reported on Thursday a profit of $34.5 billion in the recently ended quarter.

Overall revenue at Alphabet grew 12 percent to $90.2 billion compared with the same period a year earlier, while revenue for its cloud unit grew 28 percent to $12.3 billion, according to the tech giant.

London, Paris and Frankfurt were all up at the open.

MUFG's Chan also pointed to the Federal Reserve possibly cutting interest rates sooner than expected.

Fed Governor Christopher Waller said during an interview with Bloomberg Television that he would support interest rate cuts if harsh tariffs hurt the jobs market.

"In terms of the latest Fed speak, Fed's Waller has said he would support rate cuts should there be a significant deterioration in the labour market," Chan said.

- Key figures at 0800 GMT -

Tokyo - Nikkei 225: UP 1.9 percent at 35,705.74 (close)

Hong Kong - Hang Seng Index: UP 0.3 percent 21,980.74 (close)

Shanghai - Composite: DOWN 0.1 percent at 3,295.06 (close)

London - FTSE 100: UP 0.1 percent at 8,418.12

Euro/dollar: DOWN at $1.1361 from $1.1392 on Thursday

Pound/dollar: DOWN at $1.3302 from $1.3339

Dollar/yen: UP at 143.36 from 142.62 yen

Euro/pound: UP at 85.40 from 85.35 pence

West Texas Intermediate: UP 0.29 percent at $62.97 per barrel

Brent North Sea Crude: UP 0.17 percent at $66.66 per barrel

New York - Dow: UP 1.2 percent at 40,093.40 (close)

burs-tc/pbt

F.Cheon--SG