Asia-Pacific markets mostly rise after Trump hits Canada with 35% tariffs

Asia-Pacific markets traded mostly higher Friday after U.S. President Donald Trump announced 35% tariffs on Canada starting Aug. 1.

He also told NBC News Thursday that he plans to impose blanket tariffs of 15% or 20% on most trade partners.

“I think the tariffs have been very well-received. The stock market hit a new high today,” the president told NBC News' “Meet the Press” moderator Kristen Welker in a phone call.

Here's a snapshot of how markets are faring:

Singapore equities hit fresh record for fifth straight day

Singapore's benchmark Straits Times Index climbed to a fresh high Friday, notching its fifth consecutive day of gains.

The country's equities climbed 0.51% to hit a fresh record of 4,096 points Thursday as of 11.33 a.m. local time, data from LSEG showed.

Hong Kong, China markets open higher

Hong Kong's Hang Seng index rose 0.93%, and the mainland's CSI 300 index climbed 0.2% at the open.

“We are relatively optimistic about China due to its reasonable valuation, the prospect for further stimulus and its potential to catch up in AI,” UOB analysts wrote in a Thursday note.

“Within China equities, we favor AI and tourism for the secular growth potential, and high dividend yield stocks for their defensive nature,” UOB said.

Trump announces 35% tariffs on Canada starting Aug. 1

U.S. President Donald Trump Thursday announced a 35% tariff on Canadian imports, starting Aug. 1, citing that Ottawa had retaliated with tariffs against Washington.

“Instead of working with the United States, Canada retaliated with its own Tariffs,” Trump said in his letter to Mark Carney, prime minister of Canada, posted on Truth Social.

He attributed fentanyl as a reason for the rate in the letter and said: “If Canada works with me to stop the flow of Fentanyl, we will, perhaps, consider an adjustment to this letter.”

The 35% tariffs will be separate from all sectoral tariffs, Trump said, threatening that the duty might be increased if Canada continues to retaliate.

“If for any reason you decide to raise your Tariffs, then, whatever the number you choose to raise them by, will be added onto the 35% that we charge,” Trump said in the post.

Asia-Pacific markets start the day in the green

Asia-Pacific markets kicked off the trading day higher.

Japan's benchmark Nikkei 225 rose 0.51% at the open, while the Topix added 0.81%. South Korea's Kospi climbed 1% and the small-cap Kosdaq rose 0.94%.

Australia's S&P/ASX 200 was 0.14% higher.

Here are your opening calls from Singapore

Good morning from Singapore! The weather forecast is a bit bleak, but Asia-Pacific markets appear set for a bright open.

Futures for Japan's benchmark Nikkei 225 in Chicago were at 39,795, while their counterpart in Osaka last traded at 39,740 compared with the index's last close of 39,646.36.

Futures for Hong Kong's Hang Seng index stood at 24,032, pointing to a slightly higher open compared to the HSI's last close of 24,028.37.

Australia's S&P/ASX 200 was also set to start the day slightly higher with futures tied to the benchmark at 8,600, compared to its last close of 8,589.2.

Stock futures open little changed

U.S. equity futures opened flat on Thursday evening.

Futures tied to the benchmark S&P 500 fell 0.04%. Nasdaq 100 futures were lower by 0.01%. Dow Jones Industrial Average futures slipped 32 points, or 0.07%.

S&P 500, Nasdaq notch record closing highs

The S&P 500 notched a new all-time closing high on Thursday. The broad market benchmark rose 0.27% and closed at 6,280.46.

The Nasdaq Composite also closed at a record high for the second day in a row, gaining 0.09% to end at 20,630.67.

The Dow Jones Industrial Average added 192.34 points, or 0.43%, to finish at 44,650.64.

Bitcoin sets another record above $113,000

Bitcoin climbed to new all-time high of $113,863.31 on Thursday, building on its previous record reached just a day earlier, as investors jumped into risk assets and liquidated short positions.

Over the past 24 hours, $318 million in short liquidations have occurred across centralized exchanges, according to CoinGlass.

Altcoins, or cryptocurrencies other than bitcoin, joined the rally for a second day after many investors had started to lose hope that they would show signs of life this year.

Bitcoin has traded in a tight range for several weeks despite billions of dollars flowing into bitcoin exchange traded funds, which has helped the price stay above the $100,000 level for more than 60 consecutive days. Public companies have also been on a bitcoin buying spree and outpaced bitcoin ETF inflows in the second quarter.