HK Stocks Jump 2 Percent As Trade War Fears Recede

Hong Kong shares soared more than 2 percent on Tuesday, taking a big bite out of recent losses with fears abating that Donald Trump's planned tariffs could spark a global trade war.

The Hang Seng Index jumped 2.1 percent, to end at 30,510.

On the mainland, the benchmark Shanghai Composite Index rose 1 percent, to 3,289 and the Shenzhen Composite Index was up 1.2 percent, to 1,852.

Other Asian markets also gained as regional investors took confidence from the overnight rally on Wall Street.

Tokyo ended 1.8 percent higher, with Kobe Steel up slightly ahead of a news conference in which its CEO Hiroya Kawasaki resigned following publication of a report by the firm that found staff changed or falsified inspection data before shipping products.

Sydney, Seoul, Singapore and Taipei were all more than 1 percent higher.

Tuesday's more upbeat tone helped the US dollar against the yen, which had rallied on its safe-haven status. But the US unit slipped against the pound and euro.

The greenback also declined against high-yielding currencies, with the Australian dollar, Korean won and South African rand among the main winners.

Crude prices extended Monday's gains on reports of easing US stockpiles and news of a halt at an oilfield in Libya. (AFP)