To The Moon

The S&P 500 continued its upward trend this year, while Hong Kong stocks surged on strong tech earnings.

🇺🇸 S&P 500 Index: 0.10% 📈

🇺🇸 Nasdaq Index: 0.72% 📈

🇪🇺 Stoxx 600 Index: -0.24% 📉

🇯🇵 Nikkei 225 Index: -0.14% 📉

🇭🇰 Hang Seng Index: 2.30% 📈

🇨🇳 CSI 300 Index: 1.21% 📈

🇸🇬 Straits Times Index: -0.26% 📉

Wall Street extended its gains, with the S&P 500 and Nasdaq Composite rising by 0.1% and 0.7%, respectively, supported by encouraging inflation data and a US-China tariff truce.

Asia-Pacific markets advanced as well, with the Hang Seng Index and CSI 300 Index climbing 2.3% and 1.2%, driven by strong earnings from JD.com, while investors eagerly await results from market leaders Tencent Holdings and Alibaba Group Holding.

Future events:

On Thursday, investors will watch for US retail sales year-over-year and initial jobless claims.

By the end of the week, key releases include the US Michigan Consumer Sentiment Index (preliminary), Japan's Q1 GDP quarter-over-quarter growth, and Malaysia's Q1 GDP quarter-over-quarter growth.

Top things to know today:

1. The US and Qatar have signed deals exceeding $243.5 billion, including a $96 billion Boeing $Boeing(BA)$  aircraft order and major defense contracts with Raytheon and General Atomics. Trump is considering a broader $1.2 trillion commitment from the Gulf nation.

US Qatar deal

2. Canada has effectively removed most of its C$60 billion retaliatory tariffs on US goods, including manufacturing, automotive, and healthcare sectors, bringing the actual tariff impact to “near zero” according to Oxford Economics.

US Canada tariff war

3. Hapag-Lloyd $Hapag-Llyod AG(HPGLY)$  , the world's fifth-largest container shipping company, reported a more than 50% surge in trans-Pacific freight volume this week, driven by pent-up demand following the 90-day US-China tariff truce.

Hapag Lloyd

4. As part of a broader US-China trade truce agreement, China has suspended rare earth export restrictions and lifted trade bans on 28 US entities for 90 days, signaling potential easing of controls on critical military technologies.

5. Tencent's $TENCENT(00700)$   Q1 revenue grew by 13% to $25 billion, marking the fastest growth since 2021, fueled by games, advertising, and AI applications powered by DeepSeek. Meanwhile, WeChat monetization and chip reserves have eased investor concerns amid tariff and tech headwinds.

Tencent

Key takeaway:

The 90-day US-China trade truce has revived global risk appetite. Chinese equities are benefiting from easing trade tensions and supportive domestic policies like rate cuts and consumption-driven initiatives, prompting investors to refocus on corporate earnings and economic fundamentals.

@Daily_Discussion  @TigerStars  @Tiger_comments