Stock markets in the Asia-Pacific region rose after President Donald Trump outlined a business-friendly agenda for his second term in the White House and did not impose new tariffs on his first day in office.
During his inaugural address, Trump pledged to usher in a new “golden age” for America.
He promised an ambitious agenda – including trade reforms, lower taxes and reductions in government regulations – that could potentially boost corporate profits.
But some economists have warned that these measures could also increase inflation, which could force the Federal Reserve to raise interest rates.
In morning trading, Japan’s Nikkei 225 index was up about 0.4%, South Korea’s Kospi was up 0.6% and Australia’s ASX 200 shares were up about 1%. .
At the same time, the dollar was down against some other major currencies, including the pound sterling and the euro.
American markets were closed Monday for the Martin Luther King Jr. holiday.
During the election campaign, Trump promised 10% tariffs on all imports into the United States and imposed a 60% import tax on China, while products from Canada and from Mexico would be subject to customs duties of 25%.
He said the tariffs would make Americans richer, although critics say the costs would likely be passed on to consumers.
The president also announced that he would create a “Foreign Revenue Service” to collect all customs duties, taxes and revenues from foreign sources.
