Market Highlights 💡 - 23 April 2025

Global markets closed broadly higher on hopes of easing tariff tensions and strong corporate earnings from the U.S.

🇺🇸 S&P 500 Index: 2.51% 📈

🇺🇸 Nasdaq Index: 2.71% 📈

🇪🇺 STOXX 600 Index: 0.44% 📈

🇯🇵 Nikkei 225 Index: -0.17% 📉

🇭🇰 Hang Seng Index: 0.87% 📈

🇨🇳 CSI 300 Index: 0.04% 📈

🇸🇬 Straits Times Index: 0.96% 📈

U.S. markets rallied on Tuesday, with the S&P 500 and Nasdaq jumping 2.5% and 2.7%, respectively. A wave of strong quarterly earnings and signs of potential easing in U.S.-China trade tensions helped draw sidelined capital back into the market.

Asia-Pacific markets also ended broadly higher, with the Hang Seng Index and CSI 300 Index rising 0.9% and 0.04%. Expectations for more policy support from China helped offset early-session selling triggered by President Trump's comments on the Fed's monetary policy.

Upcoming Events:

Wednesday: All eyes will be on key economic data including Malaysia's inflation rate (MoM & YoY), Eurozone HCOB Manufacturing and Services PMI (flash), and U.S. Manufacturing & Services PMI (flash).

Thursday: The U.S. will release the latest Initial Jobless Claims figures.

Weekend: The University of Michigan Consumer Sentiment Final Reading for the U.S. is scheduled.

Key Things to Know Today:

1. The International Monetary Fund (IMF) has cut its growth forecasts for the U.S., China, and several other economies, citing the impact of increased tariffs. The IMF warned that if trade tensions escalate further, global growth could face greater downside risks.

IMF

2. Tesla's $Tesla Motors(TSLA)$  Q1 earnings missed expectations, with both revenue and profit falling short. Automotive revenue declined 20% YoY.

Tesla Earnings

3. Citigroup's $Citigroup(C)$  Chief Economist Nathan Sheets stated that the U.S. is feeling economic pressure from Trump-era tariffs, estimating a 40%–45% probability of entering a recession.

Nathan Sheets

4. Huawei is set to begin mass delivery of its advanced 910C AI chip, which is said to rival NVIDIA's $NVIDIA Corp(NVDA)$  H100. The chip could be shipped to Chinese clients as early as next month.

Huawei 910C AI chip

5. Beijing has recently instructed South Korean firms to avoid exporting products containing Chinese rare earth materials to U.S. defense contractors.

Key Takeaway:

Investors are closely analyzing corporate earnings guidance to better assess how companies are navigating the current tariff policy environment.

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