Seoul, South Korea – Asia-Pacific markets experienced a mix of trading on Thursday, following the positive trend seen on Wall Street. Investor optimism grew amidst the possibility of a resolution in the ongoing U.S.-China trade war.

In Japan, the Nikkei 225 index surged over 1%, building on the previous day’s gains. The broader Topix index also saw an increase of 0.81%. Conversely, South Korea’s Kospi index slipped by 0.47%, while the Kosdaq, consisting of small-cap stocks, dipped by 0.15%.

Meanwhile, Australia’s S&P/ASX 200 index rose by 0.56%, showcasing a positive trend in the region. However, Hong Kong’s Hang Seng index experienced a decline of 0.29%, while mainland China’s CSI 300 remained relatively flat.

The economic landscape in South Korea painted a different picture, with the country’s GDP contracting by 0.1% in the first quarter of 2025. This figure missed the 0.1% growth expected by analysts in a Reuters poll.

Looking ahead, U.S. futures were subdued following two consecutive days of gains in major U.S. indexes. The S&P 500 futures rose by 0.1%, with Nasdaq 100 futures also trading slightly higher by nearly 0.1%. However, Dow Jones Industrial Average futures saw a slight dip of 0.1%.

The optimism in the markets stemmed from hopes of easing tensions in the U.S.-China trade war. Additionally, President Donald Trump’s reassurance that Federal Reserve Chair Jerome Powell would remain in his position as central bank leader contributed to the overall positive sentiment.

In the previous trading session, the Dow Jones Industrial Average increased by 1.07%, closing at 39,606.57 points. The S&P 500 climbed by 1.67% to end at 5,375.86 points, while the Nasdaq Composite rallied by 2.50% to settle at 16,708.05 points. All three indexes recorded back-to-back gains, reflecting a sense of optimism in the markets.