Asian Markets Surge as Trump Calms Federal Reserve Fears

Asian shares rose as President Trump signaled he would not remove the US Federal Reserve head, easing investor fears. The Nikkei, Hang Seng, and other indexes saw gains. Market sentiment was buoyed by expectations of a de-escalation in US-China tariffs and solid US company profits.

Asian markets largely climbed Wednesday, responding positively to President Donald Trump's reassurance that he will not dismiss the US Federal Reserve chairman, alleviating previous investor concerns. Japan's Nikkei 225, Australia's S&P/ASX 200, and South Korea's Kospi all reported significant gains.

Investors took comfort not just from Trump's comments but also from remarks made by US Treasury Secretary Scott Bessent, who predicted a potential easing in the trade tensions with China. This positive sentiment was reflected in US stock market recoveries, with the S&P 500, Dow Jones, and Nasdaq all rebounding strongly.

Adding to the positive market mood were optimistic earnings reports from key US firms. Meanwhile, Tesla founder Elon Musk announced his decision to focus more on his company amid profit drops. Despite some economic forecasts downgrading global growth, markets remain buoyed by hopes of trade deal progress.

(With inputs from agencies.)