Asian Stocks Struggle as Trump's Return Sparks Uncertainty

Asian stocks start the year on a cautious note, with investors wary of Donald Trump's return to the White House and a hawkish Federal Reserve outlook. Despite strong global share gains in 2024, markets face potential volatility, influenced by China's economic challenges and currency fluctuations.

Asian stocks opened the year under pressure, as uncertainty surrounding Donald Trump's imminent return to the White House and a hawkish Federal Reserve loomed large over global investors.

Despite closing 2024 with an impressive 16% gain, global shares fell 2% in December, with Asian markets struggling.

Currency markets remained volatile, with the dollar near a two-year high against a backdrop of declining global currencies and substantial interest rate differences.

(With inputs from agencies.)