Asian markets mixed as traders eye US inflation data, earnings [Video]

Asian markets diverged Tuesday as bargain buying after recent losses played against ongoing worries about the outlook for the global economy and the impact of a second Donald Trump presidency.

A report saying the incoming US leader’s economics team was considering slowly hiking tariffs on imports provided support to traders and put a cap on the dollar’s latest surge, while news of fresh curbs on AI chips to China appeared to have little immediate impact.

However, traders remain concerned that his pledges to cut taxes, regulations and immigration continue to dampen sentiment with warnings that the measures will revive inflation.

Traders have slashed their expectations on how many times the Federal Reserve will cut interest rates through 2025 to one, from four predicted last year, while there is even talk that the next move could be a hike owing to still-sticky inflation and Trump concerns.

Data on Friday showing the …