Asian Session Summary: Tuesday, June 3, 2025
Asian Markets Overview
Asian markets are mostly in the green this Tuesday, supported by Wall Street’s rebound, but weighed down by renewed trade tensions between the US and China and an unexpected contraction in Chinese manufacturing activity in May.
Japan – Nikkei 225 +0.08%
The Nikkei slightly rebounded, ending two consecutive losing sessions. The yen weakened against the dollar, despite remarks from Kazuo Ueda (BoJ) hinting at possible rate hikes if economic momentum persists.
Movers: Export stocks benefited from a weaker yen. This week, attention is on employment and household spending data.
China – Shanghai Composite +0.32%
The index rebounded despite a sharp contraction in private manufacturing PMI (lowest since September 2022). Trade tensions with the US are intensifying, as Beijing denies violating the interim agreement.
Impacted Sectors: Industry (-), exporters (-), currency (yuan ). Investors are eyeing possible easing after the anticipated Xi–Trump meeting.
Hong Kong – Hang Seng +1.22%
Technical rebound driven by widespread sector gains. Tech stocks are picking up momentum despite the uncertain geopolitical context.
Key Stocks: Alibaba, Tencent, Meituan—all up on opportunistic buying.
India – Sensex -0.28%
Third consecutive bearish session, dragged down by tech and health stocks. The Adani case also weighs after suspicions regarding imports of Iranian origin.
Stocks to Watch: Adani Group (-0.7% to -2%), HDFC Bank under pressure. Watch for trade talks with the US.
Why does it matter?
The Asian session reflects a fragile balance between global optimism (Wall Street, Australia) and persistent Sino-American tensions. Weak Chinese PMIs raise concerns about global recovery.
After US Market Recap
Credo Technology ($CRDO) +12.53% → Quarterly results above expectations: EPS of $0.35 (+$0.08), revenue of $170.03M (+$10.4M).
Parsons ($PSN) -4.36% → Lowered revenue outlook due to State Department restructuring.
US Futures Pre-market
Dow Futures: -0.34%
S&P 500 Futures: -0.34%
Nasdaq 100 Futures: -0.35%
Conclusion
Markets are starting the week with caution. Asia is showing relative resilience despite Sino-American tensions. Contraction in China and the Adani situation in India could fuel volatility. Investors are awaiting strong macroeconomic signals from the US today.
Sectors at risk: Asian exporters, technology, health (India). Volatility expected around Xi–Trump announcements and US releases.
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Have a great session, everyone!
Sylvain Mouilhaud: Equity Coach