NEW YORK — Asian and European markets rallied in Thursday trading in response to President Donald Trump's dramatic decision to suspend planned tariffs on nearly all American trading partners for 90 days -- with the exception of China.
Key Asian indices recorded notable recoveries on Thursday -- marking a reprieve for most after a week of turbulence and selloffs driven by fears of escalating trade wars and recessions.
In Japan, the Nikkei 225 closed 9.1% and the broader TOPIX index closed up 8%. South Korea's Kospi closed up nearly 6.6%.
Taiwan's Taiex index jumped 9.3% and Australia's ASX 200 rose 4.5%.
Key Chinese markets were also in the green, despite Trump's decision to raise tariffs on Chinese goods to a cumulative total of 125%. The president alleged a "lack of respect" from Beijing to explain the latest hike, his latest broadside coming after China announced 84% reciprocal tariffs on U.S. goods on Wednesday.
Hong Kong's Hang Seng Index climbed 2%, the Shanghai Composite Index jumped 1.1% and the Shenzhen Component Index rose 2.2%.
In Europe, the pan-continental STOXX 600 index jumped more than 7%.
Upon opening, Britain's FTSE 100 climbed 6%, France's CAC 40 6.4%, Germany’s DAX 8%, Italy’s FTSE MIB 7.5% and Spain’s IBEX 7.2%.
U.S. markets closed after major rebounds on Wednesday following Trump's announcement that most of his sweeping tariffs would be paused.
The Dow Jones Industrial Average climbed 2,962 points, or 7.8%, marking the index's best day since 2020. The S&P 500 jumped 9.5%, while the tech-heavy Nasdaq soared 12.1%.
U.S. stock futures dipped ahead of Thursday's trading session. As of early Thursday morning, Dow futures were down 1.1%, S&P 500 futures down 1.53% and Nasdaq futures down 1.8%.
ABC News' Max Zahn contributed to this report.
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