Japan's Nikkei 225 gains 6% as markets calm somewhat after Trump's tariff shocks

BANGKOK — Asian shares and U.S. futures advanced Tuesday, led by gains in Tokyo where the Nikkei 225 shot up just over 6% as markets calmed somewhat after the shocks from President Donald Trump 's tariff hikes.

The rebound for most regional markets followed a wild day on Wall Street, where stocks careened after Trump threatened to crank his double-digit tariffs higher.

Early Tuesday, China's Commerce Ministry said it would ''fight to the end'' and take unspecified countermeasures against the United States after Trump threatened another 50% tariff on Chinese imports.

The future for the S&P 500 gained 1.5% early Tuesday while that for the Dow Jones Industrial Average was up 1.9%.

In Tokyo, the Nikkei 225 closed 6% higher, at 33,012.58.

Hong Kong also recovered some lost ground, but nothing close to the 13.2% dive Monday that gave the Hang Seng its worst day since 1997, during the Asian financial crisis.

The Hang Seng gained 1% to 20,036.03. The Shanghai Composite index jumped 1.4% to 3,140.15 after the government investment fund Central Huijin directed state-owned companies to help support the market with share purchases.

South Korea's Kospi picked up 0.3% to 2,334.23, while the S&P/ASX 200 in Australia climbed 2.3% to 7,510.00.

Markets in Thailand and Indonesia tumbled, however, as they reopened after holidays. Trading was suspended briefly in Jakarta when the JSX index fell more than 9%. It was down 7.6% by mid-afternoon. Thailand's SET lost 4.2%.

In Taiwan, the Taiex lost 4%, pulled lower by losses for Taiwan Semiconductor Manufacturing Corp., or TSMC, the world's largest computer chip maker. Its shares fell 3.8% on Tuesday.

On Monday, the S&P 500 sagged 0.2% as shell-shocked investors watched to see what Trump will do next in his trade war. If other countries agree to trade deals, he could lower his tariffs and avoid a possible recession. But if he sticks with tariffs for the long haul, stock prices may fall further.

The Dow sank 0.9%, and the Nasdaq composite edged up by 0.1%.

All three indexes started the day sharply lower, and the Dow plunged as many as 1,700 points following even worse losses elsewhere in the world. But it suddenly surged to a gain of nearly 900 points in the late morning. The S&P 500, meanwhile, went from a loss of 4.7% to a leap of 3.4%, which would have been its biggest jump in years.

The spike followed a false rumor that Trump was considering a 90-day pause on his tariffs, one that a White House account on X quickly labeled as ''fake news.'' That a rumor could move trillions of dollars' worth of investments shows how much investors are hoping to see signs that Trump may let up on tariffs.

Stocks quickly turned lower. Shortly afterward, Trump dug in further and said he may raise tariffs more against China after the world's second-largest economy retaliated last week with its own set of tariffs on U.S. products.

Trump's tariffs are an attack on the globalization that's shaped today's world economy and helped bring down prices but also caused manufacturing jobs to leave for other countries.

He has said he wants to bring factory jobs back to the United States, a process that could take years. Trump also says he wants to narrow trade deficits with other countries, but it's unclear how much room for negotiation there is on the U.S. side or among its trading partners.

Indexes swung between losses and gains Monday, partly because investors are still hoping negotiations may forestall actual implementation of the stiff duties on all imports.

All that seemed certain Monday was the financial pain hammering investments around the world.

Hurt by worries that a global economy weakened by trade barriers will burn less fuel, the price of a barrel of benchmark U.S. crude oil dipped below $60 on Monday for the first time since 2021. Early Tuesday, it was up 67 cents at $61.37 per barrel.

Brent crude, the international standard, gained 65 cents to $64.86 per barrel.

In currency trading, the U.S. dollar fell to 147.32 Japanese yen from 147.85 yen. The euro fell to $1.0982 from $1.0905.

The price of gold rose $54 to about $3,028.00 an ounce.

Bitcoin gained 6.2% to about $79,400. On Monday it sank below $79,000, down from its record above $100,000 set in January.