US President Donald Trump’s Asia trip is making major headlines on Monday as he is vising Japan, where he is expected to push for increased investments and defense cooperation.
The Asian markets rejoiced at President Trump’s visit, as Japan’s Nikkei 225 index continued its bull run and crossed the 50,000-mark for the first time.
In Argentina, President Javier Milei won the mid-term elections, shattering decades of Peronist dominance and securing enough congressional muscle to fast-track radical economic reforms.
Softbank is following through with a fresh $22.5 billion payment to OpenAI, as part of a larger $30 billion investment in the tech company, and this time, and investment is tied to a condition.
A glance at major news developments this morning.
Trump heads for Tokyo
US President Donald Trump departed Tokyo on Monday, the second stop on his Asia tour, where he’s pushing for more trade, investment, and defense cooperation.
He will first meet Emperor Naruhito, and then sit down with Japan’s new Prime Minister, Sanae Takaichi, the country’s first woman to hold the office.
At the top of the agenda: finalizing Japan’s pledge to invest $550 billion in the US, a deal that’s reportedly linked to Washington holding off on new tariffs against Japanese imports.
Takaichi, who is closely aligned with former Prime Minister Shinzo Abe, has already said that strengthening ties with the US is her government’s “top priority.”
Trump’s stop in Japan comes fresh off deals made in Malaysia, including a ceasefire agreement between Thailand and Cambodia.
After Tokyo, he heads to South Korea for a high-stakes meeting with China’s President Xi Jinping, a summit many hope will help stop the US-China trade war from escalating any further.
Japan’s Nikkei 225 crosses 50,000 mark
Asia-Pacific markets looked set to open on a strong note Monday after signs of real movement in US–China trade talks.
Japan’s Nikkei 225 jumped more than 2% and, for the first time ever, crossed the 50,000 mark.
The Topix index was up too, gaining about 1.6%. Futures in Hong Kong pointed to a higher open, and Australia’s ASX 200 started the day up about 0.5%.
The upbeat mood follows news that US and Chinese negotiators reached a framework agreement on major trade issues during meetings in Malaysia, raising hopes that an eventual deal between President Trump and President Xi Jinping is within reach.
US Treasury Secretary Scott Bessent said Trump’s threat of 100% tariffs on Chinese imports is “basically off the table” now.
In return, China is expected to boost soybean imports and hold off on restricting rare-earth exports. The US, however, plans to keep its current export controls in place.
Investor sentiment is also getting a lift from expectations that the Federal Reserve may cut interest rates soon, along with solid earnings from big tech companies.
Milei gains power in Argentina
Javier Milei scored a major win in Argentina’s midterm elections.
His party, La Libertad Avanza, took 40.8% of the national vote, tripling its seats in Congress and breaking the long-running grip of Peronism in several key provinces.
Milei called the outcome a “turning point” and said it gives him the mandate he needs to speed up his agenda of austerity, deregulation, and a much smaller state.
With 101 seats in the lower house and 20 in the Senate, his coalition now has enough power to push big reforms and block any impeachment attempts.
This was the strongest congressional backing Milei has ever received, even though voter turnout dipped below 70%. Markets and Washington welcomed the result.
US President Donald Trump reaffirmed that $40 billion in American financial support is still on the table, but stressed it depends on Milei actually delivering the reforms he has promised.
SoftBank’s $30B bet on OpenAI
SoftBank’s board has signed off on a second $22.5 billion payment to OpenAI, part of its massive $30 billion bet on the company, but there’s a catch.
The cash only moves if OpenAI manages to shift to a for-profit structure by the end of the year.
The investment is tied to a broader $41 billion funding round, and if the restructuring stalls, SoftBank’s commitment could shrink to about $20 billion instead.
Investor enthusiasm has been fueled by OpenAI’s explosive revenue growth, from $3.7 billion last year to a run rate of about $12 billion by mid-2025.
To fund the deal, SoftBank is using a mix of financing, including a $5 billion loan backed by Arm shares and a $2.9 billion bond issue.
If the restructuring goes through, it would also clear the path for a future OpenAI IPO, positioning this as one of the biggest single investments ever made in the generative AI space.
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