Asia-Pacific markets traded mixed on Tuesday (5/13), following a big rally on Wall Street after the US and China agreed to a trade deal.

Hong Kong stocks fell at the open with the Hang Seng Index down 1.02% and the Hang Seng Tech Index down 1.55%. This was a reversal of strong gains posted by both indices in the previous session. Meanwhile, mainland China's CSI 300 index started the day flat.

In Japan, the benchmark Nikkei 225 index jumped 1.85%, while the broader Topix index gained 1.36%.

In South Korea, the Kospi index rose 0.26% while the small-cap Kosdaq index gained 1.34%.

Australia's benchmark S&P/ASX 200 index rose 0.59%.

Investors will be watching Indian markets, which surged on Monday on optimism over an India-Pakistan ceasefire. The benchmark Nifty 50 index ended the day at 24,924.70, its highest since Oct. 16, 2024, while the BSE Sensex closed at 82,429.90, its highest since Oct. 3, 2024.

U.S. stock futures were flat after all three major benchmarks posted their best day since April 9, as investors awaited the release of inflation data.

Overnight domestically, stocks surged as investor fears of a U.S. recession, fueled by the trade war with China, eased after the two superpowers reached a deal.

The Dow Jones Industrial Average jumped 1,160.72 points, or 2.81%, to close at 42,410.10. The 30-stock index ended the session near its highest level of the day, with buying enthusiasm remaining strong.

Meanwhile, the broad-based S&P 500 jumped 3.26% to close at 5,844.19, giving it a gain of more than 20% since its April intraday low at the height of tariff pessimism. The benchmark's loss this year has now narrowed to just 0.6%.

The Nasdaq Composite gained 4.35% to close at 18,708.34, as details of the trade deal sent tech stocks with exposure to China — such as Tesla and Apple — soaring. (Newsmaker23)

Source: CNBC