Asian stock markets could see cautious trading on Tuesday amid lingering fears over a potential global trade war triggered by Washington’s policies.
Australian shares were little changed in early trade, with the ASX 200 at 5,994 points — not too far from where the index closed on Monday.
Japanese futures traded at 21,630, indicating a 5 point gain for the Nikkei 225. The benchmark index closed up 1.65 percent at 21,625 in the previous session despite fresh developments in a cronyism scandal that could hit Prime Minister Shinzo Abe’s government.
Steel producers in Asia will remain in focus amid President Donald Trump’s decision to slap tariffs on steel and aluminum imports. Several Asian nations could suffer as a result, according to Wood Mackenzie.
“We believe that steel products from South Korea, Japan, Vietnam, Thailand, South Africa, Australia, UAE, and Argentina are most at risk of displacement from the U.S. market,” the energy research firm said in a note. “These countries are the least likely to be exempted from tariffs and their steel exports have the highest displacement potential.”