Asia Stocks Surge Amid U.S.-Brokered Middle East Ceasefire

Stocks in China and Hong Kong surged as U.S. President Trump's ceasefire announcement between Israel and Iran enhanced global risk appetite. Shanghai Composite and CSI300 indices rose, while Hang Seng recorded its largest gain in over five weeks. Analysts suggest potential buying opportunities amid eased Middle East tensions.

Asian stocks, particularly in China and Hong Kong, experienced a significant surge on Tuesday. This rise followed U.S. President Donald Trump's announcement of a ceasefire between Israel and Iran, which improved global risk appetite.

The Shanghai Composite Index and the blue-chip CSI300 Index both increased by 1.2%, with the Shanghai Composite reaching its highest point since March 20. Meanwhile, Hong Kong's Hang Seng Index jumped by 2.1%, marking its largest one-day gain in over five weeks.

Analysts at Bank of China (International) Securities suggest that Middle East tensions could create new buying opportunities. In response to these developments, the Chinese yuan also strengthened against a weaker U.S. dollar, contributing to the positive market movements.

(With inputs from agencies.)