• Asian stock markets surged following a breakthrough in the US-China trade negotiations.
• US Treasury Secretary announced that the threat of additional tariffs on Chinese goods is "effectively off the table."
• Significant gains were observed in Japan's Nikkei and South Korea's Kospi, reflecting improved investor sentiment.
• Both countries' leaders are set to meet for further discussions at the APEC summit this week.
• China agreed to delay rare earth export controls and commit to substantial soybean purchases as part of the negotiations.

Asian equities surged on October 27 as investors welcomed a breakthrough in US-China trade talks, setting the stage for leaders Donald Trump and Xi Jinping to finalize a resolution to the world's most significant trade dispute. Following weekend negotiations in Malaysia, US Treasury Secretary Scott Bessent stated that the risk of an additional 100 percent tariff on Chinese goods is "effectively off the table," boosting market confidence across the region, according to Indiatimes, Le Monde, The Jakarta Post, Channel News Asia, and Channel News Asia.

Markets across Asia displayed strong upward momentum in early trading, with Japan's Nikkei 225 Index jumping over 2 percent, marking a notable milestone above 50,000 for the first time, reflecting a positive shift in sentiment after a robust finish on Wall Street. Markets in South Korea also increased, while indices in Hong Kong, Shanghai, and Taipei opened favorably, buoyed by the optimism stemming from the trade talks, according to Le Monde, The Jakarta Post, and Channel News Asia.

During his Asia tour—which includes visits to Malaysia, Japan, and South Korea—Trump expressed confidence about reaching a comprehensive agreement, stating "They want to make a deal and we want to make a deal." The upcoming meeting between Trump and Xi at the APEC summit will be their first face-to-face interaction since Trump took office again, and it is anticipated to be a pivotal moment for trade relations between the two nations, according to Indiatimes, Le Monde, and The Jakarta Post.

As discussions progressed, Chinese officials confirmed that a "preliminary consensus" had been reached regarding tariffs and export controls, with Vice Premier He Lifeng emphasizing that the talks were "candid and constructive." The negotiations also included China's commitment to delay rare earth export restrictions and engage in substantial soybean purchases, further alleviating investor concerns and indicating a potential thaw in the longstanding trade tensions, as reported by Channel News Asia, Le Monde, and The Jakarta Post.