After recent weeks of a shaky market, global stock markets opened higher on Tuesday following China’s President Xi Jinping plans for the Chinese economy. His plans included opening up the economy, which included lowering significantly lowering tariffs and other products.
The recent trade wars between U.S. President Donald Trump and China led to elevated tensions, as both parties retaliated with tariffs. Jinping’s comments calmed investors, leading to Asian markets rallying. Hong Kong’s Hang Seng Exchange closed almost 500 points higher or 1.65 percent higher. The Shanghai Exchange closed 1.67 percent higher and the Shenzhen Component gained 1.05 percent.
The Dow Jones opened up by 372 points or 1.55 percent higher.
U.S. tech stocks rallied on Tuesday ahead ofFacebook (NASDAQ: FB) CEO Mark Zuckerberg’s hearing with Congress. Zuckerberg will testify before Congress regarding Facebook’s privacy concern amid its scandal after 87 million users information had been accessed by Cambridge Analytica.
Facebook shares opened up 0.74 percent higher, Amazon.com Inc. (NASDAQ: AMZN) opened up 1.3 percent higher, Apple Inc. (NASDAQ: AAPL) opened up 1.72 percent higher, Netflix Inc. (NASDAQ: NFLX) opened up 2.07 percent higher.
In commodities, the energy sector gained strength, especially crude oil gaining 2.11 percent at $64.76 per barrel. Aluminium prices skyrocketed by 4.75 percent, as automotive tariffs eased.