Seoul, South Korea – Asia-Pacific markets experienced a mostly positive trading day on Thursday, following Wall Street’s upward trend fueled by U.S. President Donald Trump’s decision to delay tariffs on certain automakers. The Nikkei 225 index in Japan rose by 0.77%, closing at 37,704.93, while the Topix climbed 1.22% to end the trading day at 2,751.41. Japanese government bond yields saw a surge, with the 10-year yield reaching its highest level since 2009.

In South Korea, the Kospi index advanced by 0.7% to close at 2,576.16, whereas the small-cap Kosdaq experienced a decline of 1.61%, closing at 734.92. Consumer inflation in South Korea for February rose 2% year on year, surpassing Reuters’ estimates of a 1.95% increase, albeit slower than the 2.2% gain in January.

Hong Kong’s Hang Seng Index rose by 2.47% at the open, while mainland China’s CSI 300 added 1.38% to close at 3,956.24 after Beijing announced plans to increase its fiscal deficit to “around 4%” of GDP, marking a significant policy shift. However, Australia’s S&P/ASX 200 slipped by 0.57%, closing at 8,094.7.

Following the news of a one-month delay on tariffs for automakers in accordance with the United States-Mexico-Canada Agreement, the White House indicated openness to further tariff exemptions beyond the pause on auto levies. In the U.S., the three major averages closed higher, with the Dow Jones Industrial Average rebounding by 485.60 points, or 1.14%, to finish at 43,006.59. The S&P 500 added 1.12% to reach 5,842.63, while the Nasdaq Composite climbed 1.46% to 18,552.73.

Overall, the markets in the Asia-Pacific region responded positively to the developments in both the U.S. and China, reflecting a sense of optimism among investors. The shifting policies and tariff delays had a tangible impact on market performances, indicating a delicate balance between economic stability and trade negotiations in the region.