FX.co ★ Japanese Shares Rally as Trump Reverses Course

On Thursday, the Nikkei 225 Index experienced a substantial rise, climbing 6% to approach the 34,000 mark. This uptick effectively negated the losses sustained earlier in the week, following an unexpected decision by U.S. President Donald Trump. He announced a reduction in new tariff rates on imports from a majority of U.S. trade partners, lowering them to 10% for a period of 90 days to facilitate trade negotiations. This represents a notable decrease from the previous 24% tariff imposed on Japanese goods. Earlier this week, the Trump administration confirmed upcoming trade discussions with Japanese officials after a phone conversation between President Trump and Prime Minister Shigeru Ishiba. Meanwhile, tariffs on imports from China were increased to 125%, a move prompted by Beijing's retaliatory actions.