Tokyo, Japan – Markets in the Asia-Pacific region saw gains on Wednesday, following a positive trend on Wall Street amidst hopes that U.S. President Donald Trump’s tariffs may not be as severe as initially anticipated. The S&P/ASX 200 in Australia opened 0.71% higher, while Japan’s Nikkei 225 rose by 0.63%, and the Topix added 0.39%. South Korea’s Kospi climbed 0.38%, although the small-cap Kosdaq traded 0.28% lower. Additionally, Thailand’s SET Index increased by 0.4% after Prime Minister Paetongtarn Shinawatra survived a no-confidence vote.

Hong Kong’s Hang Seng Index rose by 0.75%, while mainland China’s CSI 300 remained flat. The Hang Seng Tech index, tracking the 30 largest technology companies listed in Hong Kong, saw a 0.84% increase, hovering close to correction territory.

Reports from The Wall Street Journal and Bloomberg suggest that the White House’s planned tariffs set for April 2 may have a limited scope. President Trump hinted at potential flexibility in his reciprocal tariff plans for trading partners, impacting U.S. consumers’ confidence.

As concerns over escalating trade tensions grow, Morning Consult highlighted U.S. consumers’ increasing inflation worries, financial fragility, and heightened risks in the labor market. Consequently, consumers across all income brackets are expected to reduce spending. U.S. stock futures remained steady, with the S&P 500 marking its third consecutive positive session.

In overnight trading in the U.S., all three major averages closed higher, with the S&P 500 gaining 0.16% and closing at 5,776.65. The Nasdaq Composite climbed by 0.46%, ending at 18,271.86, while the Dow Jones Industrial Average inched up by 0.01% to settle at 42,587.50.

Overall, the markets in the Asia-Pacific region responded positively to developments on Wall Street, with investors cautiously optimistic about the potential impact of President Trump’s trade policies.