Asia-Pacific Stocks Surge as China Rolls Out Economic Stimulus

Asia-Pacific markets climbed following China rolls announcement of a new economic stimulus plan aimed at boosting consumption and stabilizing key sectors.

China’s Hang Seng Index surged 1.32%, while the Shanghai Composite gained 0.16%. The CSI 300, however, saw a slight dip of 0.11% in volatile trading. Investors reacted to Beijing’s “Special Action Plan to Boost Consumption,” which seeks to increase incomes, stimulate spending, and provide support to the stock and real estate markets. The plan also promotes policies to encourage a higher birth rate, a move analysts see as part of a broader long-term strategy for economic stability.

Japan’s Nikkei 225 jumped 1.34%, with the Topix index rising 1.46%. South Korea’s Kospi advanced 1.70%, while the Kosdaq added 0.52%. India’s Nifty 50 opened 0.71% higher, and the BSE Sensex climbed 0.47%. Australia’s S&P/ASX 200 also saw gains, advancing 0.67% in late trading.

China’s latest economic data further reinforced investor optimism. Retail sales grew 4.0% year-on-year for January-February, in line with Reuters estimates and improving from December’s 3.7% growth. Urban investment outpaced projections, rising 4.1% compared to the expected 3.6% increase.

Asia-Pacific Stocks Surge as China Rolls Out Economic Stimulus

In the U.S., futures dipped slightly on Sunday after last week’s market decline, driven by renewed tariff threats from former President Donald Trump. However, Wall Street saw a sharp rally on Friday, with the Dow Jones Industrial Average soaring 674.62 points (1.65%) to 41,488.19. The S&P 500 surged 2.13% to 5,638.94, and the Nasdaq Composite jumped 2.61% to 17,754.09, marking their strongest performance of 2025.

Major technology stocks led the recovery. Nvidia climbed over 5%, Tesla gained nearly 4%, and Meta advanced close to 3%. Amazon and Apple also recorded gains, reinforcing investor confidence in the tech sector.

In commodities, gold traded at $2,992.35 per ounce, up 0.20%, while silver fell 0.68% to $34.25. Brent crude oil climbed 0.65% to $71.15 per barrel, and WTI crude increased 0.74% to $67.41 per barrel.

In the bond markets, the U.S. 10-year Treasury yield stood at 4.309%, while the UK and German 10-year yields were at 4.6700% and 2.8730%, respectively.

Investors are now closely monitoring upcoming U.S. economic data, including the release of Core Retail Sales and Retail Sales figures at 12:30 PM GMT. Analysts expect these indicators to provide further insight into consumer sentiment and economic momentum in the world’s largest economy.

As global markets digest China’s new stimulus plan, investors remain cautiously optimistic about its potential impact on regional and global economic growth.

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