Closing Bell 15th April: ASX grinds higher as US/China tensions ease, Collins Food exits Taco Bell

Global equities grind higher as US/China tensions ease

Investors remain cautious, awaiting key data such as China’s upcoming GDP report to gauge the impact of recent stimulus efforts.

President Trump is considering further temporary exemptions, particularly for auto tariffs, which spurred gains in technology and automobile stocks across Asia. BlackRock responded by upgrading US equities to “overweight,” though it still views tariffs as a lingering threat to economic growth. In Asia, most markets rose on optimism over potential tariff relief, with Japan’s Nikkei 225, South Korea’s KOSPI, and Singapore’s Straits Times index all advancing, led by tech and auto sectors.

However, Chinese stocks were volatile, fluctuating between gains and losses as the country faces escalating trade tensions with the US and imposed steep retaliatory tariffs. This uncertainty led major banks like UBS, Goldman Sachs, and Citigroup to downgrade China’s 2025 growth outlook, with UBS projecting just 3.4% growth—the lowest among major banks—and casting doubt on China’s ability to meet its 5% target.

In commodities, oil prices remained subdued, with Brent crude around $65 per barrel and WTI near $62, reflecting recession fears and increased OPEC+ output. Constructive US-Iran nuclear talks also raised the prospect of higher Iranian oil exports. Despite the positive momentum from Wall Street and hopes for more US tariff exemptions, gains were tempered by ongoing trade uncertainties and low trading volumes ahead of the Good Friday holiday.