Chinese Markets Rally Following U.S. Court Ruling on Trump Tariffs

The Chinese stock markets experienced a notable surge on Thursday after a U.S. federal court halted significant portions of President Donald Trump's tariff policies. This decision was based on the court's finding that Trump had overstepped his authority regarding international trade.

By the end of the trading day, the Shanghai and Shenzhen exchanges saw gains of 0.7% and 1.24%, respectively. Meanwhile, the less prominent Beijing market, which focuses on small and medium-sized enterprises, jumped by 2.73%.

Hong Kong's Hang Seng index, which closed an hour later than the mainland exchanges, rose by 1.35%. The ruling from the International Trade Court deemed Trump's tariffs—imposed under the International Emergency Economic Powers Act of 1977—"unconstitutional," effectively blocking their operation.

This legal setback for Trump came after a period of market volatility and follows a brief truce between Beijing and Washington aimed at reducing tariffs by 115 percentage points. In Japan, the Nikkei index also responded positively, climbing 1.88% and gaining 710.58 points to close at 38,432.98.

Source: www.clarin.com