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Stocks, futures rise as China mulls trade talksThe MSCI Asia Pacific Index gained 0.4% after China’s Ministry of Commerce said it’s assessing the possibilities of negotiations after senior US officials repeatedly expressed their willingness to talk. Japanese shares gained 1.2% on positive comments from Japan’s chief trade negotiator.By Bloomberg  May 2, 2025, 7:49:01 AM IST (Published)3 Min ReadAsian stocks edged up and US equity-index futures reversed losses Friday after China said it’s evaluating possible US trade talks, boosting optimism that tariff tensions will tamp down.

The MSCI Asia Pacific Index gained 0.4% after China’s Ministry of Commerce said it’s assessing the possibilities of negotiations after senior US officials repeatedly expressed their willingness to talk. Japanese shares gained 1.2% on positive comments from Japan’s chief trade negotiator. Futures contracts for the S&P 500 reversed earlier losses to gain 0.6%. A gauge of the dollar drifted higher and 10-year Treasuries fell. Oil and gold trimmed earlier losses.

“This is a great move, no matter which side takes the initiative,” said Steven Leung, executive director at UOB Kay Hian Hong Kong Ltd. “There should be a round of short covering in financial market as hopes are now rising for a solution for the current deadlock.”

The S&P 500 has gained for eight consecutive days - the longest run since August - amid increased optimism that trade tensions are waning since President Donald Trump announced century-high levies April 2. Investors will turn their attention to the US jobs report due Friday, the last piece of significant data this week, after disappointing earnings from Apple Inc. and Amazon Inc.

China’s statement signals the stalemate between the world’s two largest economies may shift, after Trump hiked US tariffs and Beijing retaliated in kind. Trump has repeatedly said President Xi Jinping needs to contact him in order to begin talks. Earlier this week, Treasury Secretary Scott Bessent said it’s up to Beijing to take the first step to de-escalate the dispute.

“The US has recently sent messages to China through relevant parties, hoping to start talks with China,” the nation’s commerce ministry said. “China is currently evaluating this.”

Earlier, Apple shares slipped in late US trading after it reported sales from China declined more than anticipated in the latest quarter, overshadowing otherwise solid results. Meanwhile, Amazon gave an operating income forecast that missed expectations when markets closed, pushing shares lower in post-market trading.

Microsoft Corp. and Meta Platforms Inc. jumped on upbeat earnings, while a report of the US weighing a potential easing of restrictions on Nvidia Corp.’s sales to the United Arab Emirates pushed the chip-maker’s shares higher during Thursday’s session.

“Results from Amazon and Apple are a bit of a damper on the markets,” wrote Kyle Rodda, senior market analyst at Capital.com.

In Asia, the yen slipped against the dollar as the Bank of Japan said it will take longer than it previously thought to hit the inflation target, leading traders to pare bets on further interest-rate hikes.

Meanwhile, Japan’s Finance Minister Katsunobu Kato said that the country’s US Treasury holdings could be a card in its trade negotiations with the US, in response to a question asking whether Japan’s stance of not easily selling the holdings could be seen as a negotiation tool.

“It does exist as a card,” said Kato, speaking on a TV Tokyo program Friday, when asked if Japan’s stance of not selling holdings could be a negotiation tool. “Whether or not we use that card is a different decision.”Continue ReadingCheck out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!TagsAsian stock