Asian markets declined on Tuesday as renewed U.S. tariffs under former President Donald Trump fueled risk-off sentiment. A holiday in Japan kept trading volumes low, while U.S. stock index futures also slipped during Asian hours.
Investors remained cautious ahead of the U.S. consumer price index (CPI) data set for release on Wednesday, which could influence the Federal Reserve’s rate outlook. The latest tariffs on aluminum and steel, along with existing levies on Chinese imports, intensified concerns over escalating trade tensions, potentially disrupting supply chains and slowing economic growth.
China’s Shanghai Composite Index fell 0.5%, while the CSI 300 lost 0.7%. Hong Kong’s Hang Seng Index dropped 0.7% after a recent rally driven by optimism in DeepSeek AI technology stocks. The Philippines' PSEi Composite Index slid more than 1%, Singapore's Straits Times Index lost 0.5%, and Indonesia’s Jakarta Composite fell 0.6%. India's Nifty 50 Futures edged down 0.1%.
However, South Korea’s KOSPI bucked the trend, gaining 0.5%. Australia’s S&P/ASX 200 remained mostly unchanged, as weak consumer sentiment persisted despite expectations of an interest rate cut by the Reserve Bank of Australia (RBA).
A survey by Westpac revealed that Australian households continued to feel financial pressure despite growing bets on a rate cut at the RBA’s February 17–18 meeting. Economists expect a 25-basis-point reduction as inflation nears the central bank’s target faster than anticipated.
With global markets reacting to trade tensions and monetary policy signals, investors are bracing for key economic data that could impact future rate decisions.


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