Stocks Surge Amid US-China Tariff Tensions

Mainland China and Hong Kong shares experienced significant gains as Beijing and state firms bolstered support amid rising tariffs from the U.S. to 125% on Chinese imports. China retaliated with 84% duties on U.S. goods, while local investors and brokerages pledged to stabilize domestic markets.

Markets in Mainland China and Hong Kong opened with notable gains on Thursday, prompted by anticipations of interventionist policies and state firm investments, despite U.S. President Donald Trump intensifying trade tariffs on Chinese imports to a hefty 125%.

While Trump temporarily lowered tariffs for several other countries, he escalated actions against China, fueling the trade conflict. In retaliation, China imposed 84% duties on American imports and introduced strict measures against 18 U.S. companies, emphasizing tensions between the two economic powerhouses.

Despite global market turmoil, Chinese and Hong Kong stocks demonstrated resilience, buoyed by expectations of Beijing's further economic safeguards. In a supportive move, major Chinese brokerages committed to stabilizing the domestic share market, and Chinese state holdings increased investments, underlining the internal drive to withstand external pressures.

(With inputs from agencies.)