Asian Shares Retreat On Tariff Uncertainty

(RTTNews) - Asian stocks retreated on Friday as investors grappled with geopolitical uncertainty and conflicting signals from the U.S. about Trump's levies.

Gold ticked higher as the U.S. dollar continued to retreat ahead of key U.S. employment data due later in the day.

Oil headed for its biggest weekly drop since October on demand concerns and fears of oversupply in the market.

Chinese shares ended lower after a choppy session as official data showed China's exports growth eased more than expected at the start of the year and imports logged an unexpected sharp decline amid mounting trade tensions.

The benchmark Shanghai Composite index dropped 0.25 percent to 3,372.55 while Hong Kong's Hang Seng index closed 0.57 percent lower at 24,231.30.

China's exports grew at a slower pace of 2.3 percent annually in the January to February period, following a 10.7 percent rise in December, according to data from the customs office.

Imports declined 8.4 percent from a year ago, in contrast to the 1.0 percent increase registered in December.

China has more room to act on fiscal policy amid domestic and external uncertainties, Finance Minister Lan Fo'an told reporters on Thursday after the country's top leaders delivered a pro-growth message at the National People's Congress.

Japanese markets tumbled as the yen extended gains for a third day against the dollar amid heightened uncertainty over U.S. trade policies and hawkish signals from the Bank of Japan.

The Nikkei average fell 2.17 percent to 36,887.17, ending at a six-month low dragged down by exporters and technology stocks. The broader Topix index settled 1.56 percent lower at 2,708.59.

Seoul stocks ended lower, with the Kospi average finishing down 0.49 percent at 2,563.48. Major defense firm Hanwha Aerospace extended gains to end 7.8 percent higher.

Steel giant Posco Holdings jumped 7.3 percent on expectations of South Korea's participation in the Alaska gas pipeline project.

Australian markets ended sharply lower due to significant losses in banking stocks, with Commonwealth Bank of Australia shares tumbling 3.3 percent.

Tech and mining stocks also fell while consumer staple firms posted modest gains. The benchmark S&P/ASX 200 slumped 1.81 percent to 7,948.20 while the broader All Ordinaries index closed down 1.78 percent at 8,178.50.

Insignia Financial shares surged nearly 10 percent after private equity houses Bain and CC Capital sweetened their bids for the wealth manager to $5 a share, valuing it at around $3.4 billion.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index slipped 0.23 percent to 12,399.78.

U.S. stocks fell sharply overnight, with the tech-heavy Nasdaq officially entering into correction territory on the mixed messaging coming from the White house and renewed concerns about spending on artificial intelligence as China doubles down on AI and tech innovation.

The U.S. trade deficit widened to a record high in January amid front-loading of imports ahead of tariffs, suggesting that trade could be a drag on economic growth in the first quarter.

The Nasdaq Composite and the S&P 500 plummeted 2.6 percent and 1.8 percent to reach five and four-month closing lows, respectively amid worries that President Trump's much-vaunted policy of trade tariffs will hurt domestic growth. The narrower Dow lost 1 percent.