Asia stocks mixed amid US-China trade uncertainty; Toyota pushes Nikkei higher

Investing.com-- Asian stock markets were mixed on Monday, as Japanese shares rose, boosted by Toyota’s surge on a potential buyout of its supplier, while Chinese stocks were subdued amid ongoing uncertainties surrounding U.S.-China trade talks.

Major U.S stock indexes closed higher on Friday, leading to weekly gains. However, futures tied to these benchmark indexes were lower in Asian trading on Monday as trade uncertainty remained.

Toyota (NYSE:TM) jumps over 5%, pushes Japan’s Nikkei higher

Japan’s Nikkei 225 index rose 0.5% on Monday while TOPIX jumped 1.1%.

Toyota Motor’s (TYO:7203) stock jumped 5.5% after the automaker revealed it is exploring a potential buyout of its key parts supplier, Toyota Industries (OTC:TYIDF).

The proposal values Toyota Industries, a maker of textile looms and car parts, at $42 billion, Bloomberg reported on Friday.

The broader auto sector also gains, with Nissan (OTC:NSANY) Motor (TYO:7201) and Honda Motor (TYO:7267) shares rising 2.5% and 1.2%, respectively.

Investors also awaited the Bank of Japan’s policy meeting starting later this week, where the central bank is expected to keep interest rates unchanged on May 1 amid global uncertainty.

US-China trade uncertainty persists; Asia FX muted

U.S. Treasury Secretary Scott Bessent on Sunday contradicted President Donald Trump’s previous statements, saying he was unaware of any ongoing tariff talks with China and uncertain whether Trump had recently communicated with Chinese President Xi Jinping. 

Beijing has also denied that any trade talks were occurring.

The conflicting signals kept investors uncertain, leading to muted moves in many stock indices.

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China’s Shanghai Composite index was muted, while the Shanghai Shenzhen CSI 300 was also unchanged.

Hong Kong’s Hang Seng index inched down 0.1%.

China’s official and Caixin manufacturing activity data will both be released on Wednesday, providing a first look at how tariff actions impacted the manufacturing sector.

South Korea’s KOSPI edged 0.2% higher, while Thailand’s SET Index rose 0.3%

Futures for India’s Nifty 50 edged up 0.1%.

Australia’s S&P/ASX 200 rose 0.8%, while Singapore’s Straits Times Index fell 0.5%.

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