Hong Kong (AFP) - Asian markets climbed on Monday on hopes that China will announce a huge stimulus package that will help offset US President Donald Trump’s looming tariffs against Chinese goods.

Investors were also watching for any last-ditch deals to ward off the levies hitting Mexico, Canada and China due to come in force Tuesday.

Trump had confirmed 25 percent tariffs on products from Mexico and Canada, and further imposed another 10 percent on Chinese goods from this week.

“Traders are on edge for last-minute negotiations to sidestep US tariffs,” said Stephen Innes, analyst from SPI Asset Management.

“In Asia, all eyes are on China’s National People’s Congress, where traders are betting on a fiscal boost to counter the drag from US tariffs and keep China’s blistering 2024 equity rally alive,” he added.

Ahead of the key Chinese parliamentary meeting opening on Wednesday, Hong Kong’s Hang Seng and Japan’s Nikkei climbed more than one percent, while Shanghai was also up.

Meanwhile, Bitcoin slipped 1.3 percent on Asian markets after a six percent-surge on Sunday on the back of Trump’s announcement that he was considering adding five digital assets to the US’ strategic reserves.

Last week saw bitcoin, one of the most volatile assets, fall below $80,000 for the first time since November, with other crypto currencies mirroring its downward trajectory.

Both Trump and his wife Melania recently launched their own branded meme coins, sparking accusations that they were seeking to make money from his political success.

And the billionaire chief executive Elon Musk – a close political ally whom Trump has tasked with leading a government efficiency drive – has frequently promoted cryptocurrencies on his own social media network, X.

- Key figures around 0230 GMT -

Tokyo - Nikkei 225: UP 1.0 percent at 37,516.30 (break)

Hong Kong - Hang Seng Index: UP 1.2 percent at 23,223.83

Shanghai - Composite: UP 0.5 percent at 3,335.01

Euro/dollar: UP at $1.0419 from $1.0384 on Friday

Pound/dollar: UP at $1.2612 from $1.2584

Dollar/yen: UP 150.28 from 149.52 yen

Euro/pound: UP at 82.62 pence from 82.51 pence

West Texas Intermediate: UP 1.12 percent at $70.54 per barrel

Brent North Sea Crude: UP 1.09 percent at $73.60 per barrel

New York - Dow: UP 1.4 percent at 43,840.91 (close)

London - FTSE 100: UP 0.6 percent at 8,809.74 (close)