Gotrade News - Asian and global equities climbed on Monday, led by technology shares, as optimism over US-China trade talks lifted risk appetite ahead of a summit between US President Donald Trump and Chinese President Xi Jinping.
South Korea's Kospi rose 1.7% to 7,007.72 and Hong Kong's Hang Seng advanced 0.9% to 24,975.58, according to the Associated Press, while US index futures pushed higher during Asian trading hours.
The gains followed weekend talks in New York, where US Treasury Secretary Scott Bessent met Chinese Vice Premier He Lifeng. Bessent described the discussions as "a very successful engagement" with the Chinese delegation, as reported by the Associated Press, remarks that helped lift Wall Street futures after a mixed Friday session.
China has confirmed that Xi will make a state visit to the US between September 23 and 25, with the two leaders expected to meet later in the week.
Key Takeaways
Asian markets rose broadly, with South Korea's Kospi up 1.7% and technology stocks leading the advance.
Treasury Secretary Scott Bessent called weekend US-China talks "a very successful engagement," lifting US futures.
Investors are watching the summit for signals on tariffs, semiconductor licensing, and soybean purchases.
Tech Shares Lead the Asian Advance
Technology names set the pace across the region. Samsung Electronics jumped about 5% and SK Hynix added 0.6% in Seoul, while Taiwan's Taiex rose 1.1% with Taiwan Semiconductor Manufacturing Company (TSMC) up 0.8%, according to the Associated Press.
The advance extended a broader run in chip and AI-linked shares, a theme that has powered markets even as some US technology leaders have urged caution on the pace of AI development, echoing the crosscurrents seen in the recent AMD and Intel chip rally.
Chip licensing is one of the specific issues investors expect the summit to address, keeping US semiconductor leaders such as NVIDIA (NVDA) in focus alongside their Asian suppliers. The buying also fit a pattern of firm Asian sessions in recent weeks, including a rally tied to the Bank of Japan and a weaker yen.
Kospi and Hang Seng Pace the Regional Scoreboard
Mainland Chinese benchmarks also firmed. The Shanghai Composite gained 1% to 3,949.91 and the blue-chip CSI 300 rose 0.71%, according to Investing.com, while Japan's market was closed for a public holiday. The table below summarizes Monday's regional moves as reported by the Associated Press:
Index | Level | Move |
|---|
Kospi (South Korea) | 7,007.72 | +1.7% |
Hang Seng (Hong Kong) | 24,975.58 | +0.9% |
Shanghai Composite (China) | 3,949.91 | +1.0% |
Taiex (Taiwan) | n/a | +1.1% |
S&P/ASX 200 (Australia) | 8,731.90 | flat |
Sensex (India) | n/a | +0.7% |
Sectors to Watch at the Trump-Xi Summit
The summit puts several US sectors in the spotlight. Investors are watching soybean purchase volumes, semiconductor licensing language, and auto and battery localization commitments as the clearest gauges of any progress, according to Investing.com.
Agricultural traders such as Archer Daniels Midland (ADM) are sensitive to Chinese demand, after China bought roughly one million tons of US soybeans in the week of September 10.
Aerospace is another barometer. Boeing (BA) remains tied to a Chinese pledge to take 200 aircraft, made at a May summit in Beijing, though delivery timelines and financing terms are still unclear, per Investing.com.
Goldman Sachs' base case is a "ceasefire, not treaty" outcome, in which both sides extend the existing trade truce rather than reach a breakthrough, a result the bank says is already partly priced in. That truce, which caps tariffs near 20%, is set to expire in early November.
Wall Street Eyes Tariffs and AI Safety on the Agenda
US futures rose after Bessent's comments, building on Friday's session in which the S&P 500 added 0.2% and the Nasdaq composite gained 0.4%, while the Dow slipped 0.2%, according to the Associated Press. Trade, reciprocal tariff reductions, and AI safety are all expected to feature on the agenda when the two leaders meet.
For investors on Gotrade, the week is a reminder that headline risk around the summit can move US-listed names quickly in either direction. The asymmetry, analysts note, favors a faster reaction to concrete commitments than to a stalemate, which most consider unlikely, per Investing.com.
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