Investors are shifting decisively as President Donald Trump and China’s Xi Jinping move toward sealing a sweeping trade accord, sparking a rally across markets.
Japan’s Nikkei 225 has surged beyond 50,000 for the first time in history, South Korea’s Kospi has jumped more than 2% to record highs, and China’s CSI 300 and Hong Kong’s Hang Seng are both up about 1%.
Futures for the S&P 500 and Nasdaq Composite advanced around 0.8% and 1% respectively during Asian trading, following fresh record closes on Friday.
Euro Stoxx 600 futures are higher, copper has risen 0.9% on optimism for global growth, and Bitcoin has climbed above $115,000, extending weekend gains.
Nigel Green, CEO of global financial advisory giant deVere Group, says investors are “re-positioning for a turning point in world trade as the world’s two largest economies make progress in leader-level talks.”
“The financial markets are now anticipating a gentle but genuine reopening of trade channels between the US and China, with implications that go far beyond headline-grabbing tariffs,” he says.
“Capital that’s been parked on the sidelines through months of uncertainty is starting to move back into productive assets. The shift in sentiment is immediate and global.”
The clearest beneficiaries are likely to be sectors directly exposed to trade flows and industrial production.
“Manufacturing, logistics, and materials are leading the rally because they sit at the heart of renewed cross-border activity. When container ports, shipbuilders, and commodity suppliers all rise together, it signals that investors expect physical trade volumes to expand again.”
Tech is also central to this next phase. “Semiconductors, automation, and advanced manufacturing are regaining their footing as supply-chain visibility improves and trade tensions are de-escalated,” he notes.
Commodity prices are confirming the story. “Copper is rallying, and that’s often the market’s growth gauge,” says Nigel Green. “Whenever copper, equities, and oil rise in unison, it reflects confidence that the world economy is heading back into expansion mode.”
In currency markets, the picture is nuanced but supportive of risk. “The Australian and New Zealand dollars are strengthening on trade optimism, while the yen has softened as Japan’s pro-stimulus policies turbocharge equities. Investors are rotating toward growth-linked and commodity currencies, especially across Asia,” he explains.
He adds that Bitcoin’s rise above $115,000 is another barometer of the new mood.
“Digital assets thrive when risk appetite returns. Investors see them as a high play on liquidity and as protection against currency debasement. As institutions and sovereign funds continue to diversify reserves, Bitcoin’s momentum could persist.”
Nigel Green says investors should treat this as opportunity with discipline, not unbridled euphoria.
“Markets are front-running formal signatures. What’s being priced in is relief.
“Washington and Beijing are signalling continuity of trade rather than rupture, and that alone pulls capital back into exporters, commodities, high-end manufacturing and equity markets. This is where the early money is going.”
He concludes: “No one should confuse this with peace. The strategic rivalry is intact. Supply chains are still being rewired. Industrial policy is still national security policy.
“But right now, the direction of travel is lower immediate tariff risk, delayed export controls on critical inputs, stronger demand indicators and weaker fear. That’s investable.