Trump’s charm offensive in Asia sends Nikkei 225 to record heights
[October 29, 2025] By
ELAINE KURTENBACH
BANGKOK (AP) — Shares were mostly higher Wednesday in Asia as Japan’s
benchmark Nikkei 225 index surged more than 2% to another record.
U.S. futures were mixed and oil prices were little changed.
U.S. President Donald Trump has been touring Asia and his upbeat
comments on relations with major economies like Japan and China have
helped fuel rallies while U.S. stocks have pushed further into record
heights.
In Tokyo, the Nikkei 225 jumped 2.2% to 51,307.65.
After a charm offensive in Japan that culminated in $490 billion in
investment commitments, President Donald Trump met with South Korea’s
leader on Wednesday, though a trade deal with that country appeared more
elusive.
Top officials in Washington and and Seoul say the sticking point for an
agreement continues to be the logistics behind Trump’s demand that South
Korea invest $350 billion in the United States.
Still, South Korea's Kospi rose 1.8% to 4,081.15.
The Shanghai Composite index surged 0.7% at 4,016.33. It has been
trading near decade highs ahead of Trump's expected meeting with Chinese
leader Xi Jinping on the sidelines of a regional summit in South Korea.
Trump and Xi have been locked in an escalating trade war, with
Washington imposing high tariffs and tightened technology controls and
China retaliating with curbs on rare earth shipments, one of its key
sources of leverage.
The fact that a meeting is planned suggests there is room for some
progress in easing tensions, experts say.
Australia's S&P/ASX 200 declined 1% to 8,926.20 after the release of
higher than expected inflation data, an annual rate of 3.2%, dashed
hopes for an interest rate cut anytime soon.
Taiwan's Taiex gained 1.2% and India's Sensex rose 0.5%.
On Tuesday, the U.S. stock market pushed further into record heights.
The S&P 500 added 0.2% to 6,890.89. The Dow Jones Industrial Average
rose 0.3% to 47,706.37, and the Nasdaq composite climbed 0.8% to
23,827.49. All three indexes set all-time highs for a third straight
day.
Wall Street is waiting for a few events that could shake things up. On
Wednesday, the Federal Reserve will announce its latest move on interest
rates, while some of the stock market’s most influential companies will
report how much profit they made during the summer.
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Currency traders work near a screen showing the Korea Composite
Stock Price Index (KOSPI) at the foreign exchange dealing room of
the Hana Bank headquarters in Seoul, South Korea, Tuesday, Oct. 28,
2025. (AP Photo/Ahn Young-joon)
 Investors expect the Fed to announce
a rate cut given the slowing job market. It would be the second time
this year that it’s lowered the federal funds rate in hopes of
helping the job market.
United Parcel Service rallied 8% Tuesday after delivering stronger
profit and revenue for the latest quarter than analysts expected.
PayPal climbed 3.9% after saying it made a bigger profit during the
summer than analysts expected. It also said it plans to pay its
shareholders a dividend every three months, while announcing a deal
where internet users will be able to pay for purchases through
OpenAI’s ChatGPT.
Skyworks Solutions climbed 5.8% after saying it would merge with
Qorvo in a cash-and-stock deal where Skyworks shareholders will own
roughly 63% of the combined company, valued at $22 billion. Qorvo’s
stock rose nearly as much, 5.7%.
Microsoft was one of the strongest forces lifting the market after
rising 2%. That sent the company's total value on Wall Street above
$4 trillion.
On the losing end of Wall Street was Royal Caribbean, which lost
8.5% despite reporting a stronger profit than analysts expected. Its
revenue for the latest quarter fell short of expectations.
Homebuilder D.R. Horton sank 3.2% after reporting a weaker profit
for the summer than analysts expected.
Amazon, meanwhile, rose 1% after saying it will cut about 14,000
corporate jobs, or about 4% of its corporate workforce, as it ramps
up spending on artificial intelligence while cutting costs
elsewhere.
In other dealings early Wednesday, U.S. benchmark crude oil inched
up 5 cents to $60.20 a barrel. Brent crude, the international
standard, rose 4 cents, to $63.87 a barrel.
The U.S. dollar rose to 152.26 Japanese yen from 152.11 yen. The
euro slipped to $1.1629 from $1.1651.
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