Asia stocks mixed as Trump tariff uncertainty lingers; China inflation data also weighs

Asia stock markets trade mixed on Wednesday, amid a modest drop in U.S. futures after U.S. President Trump escalated his global trade war by threatening a 50% tariff on copper and signaling upcoming levies on semiconductors and pharmaceuticals. In the latest trade development, the president confirmed that the newly imposed duties on 14 countries, set to take effect on August 1, would proceed without revisions or delays, he threatened tariffs of up to 200% on pharmaceutical imports, though implementation would be delayed by 12 to 18 months to give the industry time to adjust. Gold fell below $3,300 per ounce on Wednesday, extending a more than 1% loss in the previous session. Japan ( NKY:IND ) rose 0.29% to around 39,670 on Wednesday, while the broader Topix Index edged up 0.25% to 2,823, as Japanese stocks struggled for clear direction amid heightened trade tensions. The Japanese yen slipped past 147 per dollar on Wednesday, marking its third consecutive session of losses, as trade negotiations between the US and Japan showed signs of strain, particularly over Japan’s rice market protections. Meanwhile, Bank of Japan board member Junko Koeda noted the central bank is closely watching for potential second-round effects on core inflation, particularly from rising food prices including rice. China ( SHCOMP ) rose 0.36% to around 3,510, while the Shenzhen Component gained 0.5% to 10,640 on Wednesday, with Chinese stocks climbing to multi-month highs following the release of key inflation data, and the offshore yuan fell to around 7.18 per dollar on Wednesday, as investors reacted to the latest inflation data from China. China's consumer prices edged up by 0.1% year-over-year in June 2025 , marking the first annual increase in consumer inflation since January. Meanwhile, annual producer prices dropped 3.6%—worse than the anticipated 3.2% decline and steeper than May’s 3.3% fall. Hong Kong ( HSI ) fell 0.71% to 23,953 around midday Wednesday, reversing gains from the previous session. India ( SENSEX ) rose 0.02% Australia ( AS51 ) fell 0.47% to around 8,547 on Wednesday, retreating after a flat session, as sentiment soured on fresh trade actions from US President Donald Trump. The Australian dollar held its recent gains to around $0.653 on Wednesday, supported by the Reserve Bank of Australia’s surprise decision to maintain interest rates at 3.85% on Tuesday. Private house approvals in Australia rose 0.5% month-over-month to an eight-month high of 9,454 units in May 2025, confirming preliminary estimates. The seasonally adjusted number of total dwellings approved in Australia increased by 3.2% month-over-month to 15,212 units in May 2025, confirming preliminary estimates. In the U.S., on Tuesday, all three major indexes ended slightly lower as investors digested conflicting signals from President Trump regarding tariffs. Investors are awaiting Wednesday’s release of the Fed’s June meeting minutes and earnings from Delta Air Lines later in the week. U.S. stock futures held steady on Wednesday as investors assessed the latest round of tariff actions announced by President Donald Trump: Dow -0.04% ; S&P 500 -0.03% ; Nasdaq -0.01% . Currencies: ( JPY:USD ), ( CNY:USD ), ( AUD:USD ), ( INR:USD ), ( HKD:USD ), ( NZD:USD ). More on Asia: China CPI sees slight rise up 0.1%, PPI drops most in two years amid weak demand and tariff risks Trump puts 25% tariff on Japan and South Korea, others (updated) U.S.-China trade agreement leads to lifted chip design software restrictions Australia's manufacturing contraction deepens in May; retail sales miss estimates China's factory activity returns to expansion at 50.4, new orders surge amid better trade