Asian stocks rose on Wednesday as investors cheered a new agreement between the US and China aimed at easing trade tensions. The move raised hopes that the two countries could reach a broader deal after months of tit-for-tat tariffs.The agreement came after two days of high-level talks in London, building on progress made in Geneva last month.Japan’s Nikkei 225 rose 0.5% to 38,385.37 in morning trading. Hong Kong’s Hang Seng gained 0.8% to 24,364.77, while the Shanghai Composite increased 0.5% to 3,402.72.Australia’s S&P/ASX 200 rose 0.3% to 8,612.40. South Korea’s Kospi increased 0.6% to 2,889.88.Wall Street futures are down on Wednesday morning, despite the US and China agreeing to move forward with last month’s Geneva trade deal. Dow futures have fallen 110 points, S&P 500 futures are slightly lower, and Nasdaq futures are down 60 points.Earlier on Tuesday, S&P 500 gained 0.5% to 6,038.81 as bilateral trade discussions continued. The Dow Jones Industrial Average increased 0.2% to 42,866.87, whilst the Nasdaq composite rose 0.6% to 19,714.99.Share values have increased significantly since falling approximately 20% below their peak two months ago, when President Donald Trump’s announcement of substantial tariffs created concerns about economic decline.The market recovery largely reflects expectations that Trump would reduce tariffs following trade agreements globally, with the S&P 500 now just 1.7% below its February peak.Experts noted that the late-night agreement reached in London appeared to reinforce previously established terms.US commerce secretary Howard Lutnick on Tuesday said that negotiations with China were progressing “really, really well.”Both nations have suspended numerous announced tariffs during ongoing discussions. Despite the current tariff suspension, ongoing uncertainty continues to impact corporate profitability.Early Wednesday, the 10-year Treasury yield moved to 4.48% from Tuesday’s 4.47%. Oil prices fell for a second straight day as traders reacted to mixed signals on US trade policy. Benchmark US crude decreased 12 cents to $64.86 per barrel. Brent crude declined 15 cents to $66.72 per barrel.The US dollar strengthened to 144.94 yen from 144.84 yen. and the euro decreased to $1.1414 from $1.1425. Gold edged higher despite the trade deal, trading near $3,330 an ounce and posting modest weekly gains.Market Snapshot as of 0230 GMT: