Tech Stocks Rise Amid U.S.-China Tariff Uncertainty

China and Hong Kong's stock markets rose slightly on Wednesday, driven by gains in the tech sector, as anticipation grows for President Trump's announcement of new tariffs, with markets concerned about possible global trade tensions. Analysts caution that Trump's approach could significantly impact market volatility.

China and Hong Kong stock markets saw slight upticks on Wednesday, fueled by gains in technology shares. This development comes as investors brace for U.S. President Donald Trump's anticipated announcement regarding new reciprocal tariffs on global trading partners.

The White House has confirmed an imminent tariff imposition but has remained tight-lipped about the specifics. With a scheduled announcement set for late Wednesday, the markets are left in a state of suspense, worried about the potential for an escalating global trade war.

Increased risk aversion is forecasted if the tariffs from the U.S. prove to be extensive and aggressive. Analysts like Philip Wee from DBS suggest markets could face a second wave of volatility if China and the EU quickly retaliate. While Hong Kong's unique trading status may offer some insulation, its role as a regional hub could still render it vulnerable to disruptions.

(With inputs from agencies.)