BEIJING, CHINA – NOVEMBER 11: The national flag of China flies in front of the headquarters of the People’s Bank of China (PBOC) on November 11, 2025, in Beijing, China. The PBOC serves as the country’s central bank, overseeing monetary policy, financial regulation, and currency issuance. (Photo by Cheng Xin/Getty Images)
Cheng Xin | Getty Images News | Getty Images
Asia-Pacific markets climbed on Tuesday, breaking ranks with Wall Street as investors weighed renewed tariff threats from U.S. President Donald Trump and concerns that artificial intelligence could disrupt software companies.
Trump posted on Truth Social Monday that any country that wants to “play games” with the Supreme Court decision “will be met with a much higher tariff.”
The comments followed a Supreme Court decision Friday striking down tariffs enacted under the International Emergency Economic Powers Act. In response, Trump said he would impose a 15% global tariff under Section 122 of the 1974 Trade Act.
Investors in Asia were also awaiting China’s loan prime rate decision. The one-year LPR serves as a benchmark for new commercial loans, while the five-year LPR guides property loans.
Markets in mainland China will reopen after the Lunar New Year holiday. Hong Kong Hang Seng index futures stood at 26,869, below its previous close of 27,081.91.
South Korea’s Kospi continued its record-breaking run, climbing 0.24%, while the small-cap Kosdaq saw a larger gain of 0.56%.
Japan’s Nikkei 225 rose 0.23%, while the Topix was flat.
Australia’s S&P/ASX 200 also rose 0.12%.
Overnight in the U.S., the Dow Jones Industrial Average dropped 1.66%, while the Nasdaq Composite declined 1.13%. The S&P 500 shed 1.04%.
Cybersecurity stocks dropped for a second day on Monday as investors fretted over new artificial intelligence security tools that threaten to displace the sector’s longstanding business models.
Anthropic on Friday debuted a new security tool to its Claude model in a limited research preview. The AI lab said the service could scan software code for vulnerabilities and suggest solutions. Anthropic is scheduled to host an enterprise briefing with new product announcements on Tuesday.Samantha Subin
Software stocks such as Microsoft and CrowdStrike were under pressure once again as AI disruption worries weighed on the market. Microsoft dropped 3%, while CrowdStrike retreated nearly 10%.
— CNBC’s Samantha Subin, Sean Conlon and Sarah Min contributed to this report.