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VT Markets Exclusive Analysis: Global Capital May Shift Amid Tariff Shock and AI Disruption
Meanwhile, markets in Germany, France, and the UK have gained momentum thanks to a manufacturing revival. Hong Kong’s Hang Seng Index has soared, boosted by the launch of DeepSeek and China’s thriving tech sector. However, the broader Asian market struggles, with Australia, a key trade partner of China, also feeling the weight of the downturn alongside U.S. stocks.
Impact of Trump’s Tariff Policy
Trump’s tariff strategy has resurfaced, revealing deep structural contradictions in U.S. trade. According to data from the U.S. Department of Commerce, the U.S. current account deficit grew by $228.2 billion in 2024, reaching $1.13 trillion. This increase is primarily attributed to a further expansion of the goods deficit. In this context, new tariffs – including a 20% tariff on China and 25% punitive tariffs on steel and aluminum – appear to serve as a strategic deterrent.
Despite Trump’s claims that the tariffs are aimed at reducing the trade deficit, the reality is more complex. The VT Markets Research Desk reports that a significant portion of the U.S. trade deficit is generated by American companies operating overseas. These firms set up production in Asia and ship goods back to the U.S., creating an apparent trade deficit. While the new tariffs might improve the deficit somewhat, the main goal is to pressure other nations into negotiations and encourage the return of manufacturing to the U.S.
This policy shift has not only affected international trade dynamics but has also triggered the rotation of capital away from U.S. stocks.
Tech Stock Decline and the Rise of Defensive Sectors
Investor concerns regarding the impact of new tariffs on U.S. corporate supply chains, coupled with a cautious stance from the Federal Reserve, have led to capital fleeing from tech giants, even as Q1 earnings season showed that 75% of U.S. companies exceeded profit expectations. Market sentiment is now predicting a slowdown in profit growth for 2025.
In the past three months, U.S. tech stocks have suffered significant sell-offs. Nvidia, for example, has dropped 21.6% year-to-date, losing its position as the most valuable company in the country. Other tech giants such as Apple, Microsoft, Google, and Amazon have seen declines ranging from 8% to 18%. In response, funds have shifted towards defensive sectors like healthcare, non-cyclical consumer goods, and utilities. More conservative investors have opted to increase their cash holdings.
While the stock market correction may seem like a warning sign, it could also alleviate concerns of market bubble risks by reducing excessive capital concentration in the tech sector.
Second Quarter Outlook and Investment Strategy
Looking ahead to the second quarter, the real storm is approaching. On April 2, several previously delayed tariff policies will be enacted. These include reciprocal tariffs, a 25% tariff on goods from Canada and Mexico (which were previously postponed due to USMCA), and secondary tariffs aimed at isolating Venezuela by taxing goods from countries purchasing oil the country. Additionally, a 25% tariff will be imposed on automobiles. However, there is still no definitive information regarding the semiconductor and pharmaceutical sectors.
The VT Markets report notes that these policy changes could trigger retaliatory tariffs globally, leading to increased economic risks and prolonged weakness in U.S. stock indices.
Given the highly uncertain market environment, the VT Markets Research Desk advises investors to focus on two key signals: First, whether positive news could prompt U.S. stocks to bottom out. With the current climate being unclear, investors should avoid trying to “catch the bottom.” Second, until the fog of uncertainty dissipates, traders are recommended to adopt a more defensive stance, reducing risk exposure by increasing the proportion of risk-free assets in their portfolios.
VT Markets Research Disclaimer: This analysis is based on market data and information available at the time of writing, dated March 31, 2025. Given the real-time volatility of the financial markets, the views expressed in this document may be adjusted as market conditions change. Readers are advised to consider the latest developments and make informed judgments when referencing this content.
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Successful debut of International Symposium on Emergency Response and Aeromedical Services in Hong Kong
With participants from places including Hong Kong, the Chinese Mainland, Australia, the United Kingdom, Austria, Indonesia, Singapore and Thailand, the event aimed to foster closer co-operation in emergency linkage, resource sharing, and professional training among different regions.
The symposium featured a series of plenary sessions, panel discussions, technical visits, and live demonstrations jointly conducted by the GFS and various government emergency units. A number of memoranda of understanding were signed during the event, to deepen collaboration between the GFS and the Chinese Mainland as well as domestic and international emergency, aviation, and medical institutions.
Speaking at the opening ceremony, the Under Secretary for Security, Michael Cheuk, said that the challenges of emergency response as a result of the realities of climate change are evolving at an unprecedented pace.
“A shift to proactive prevention, continuous enhancement of international and cross-regional collaboration, and enhanced experience and insight sharing among stakeholders are key to rising to new and complex challenges,” Mr Cheuk said, adding that the collaborative spirit of ISERAS will forge stronger partnerships, further strengthen emergency response capabilities, and secure a safer future for communities.
The Director General of the Rescue and Salvage Bureau of the Ministry of Transport of the People’s Republic of China (CRS), Wang Lei, also attended the symposium and delivered a keynote presentation on air rescue capabilities and strategic development in the South China Sea.
The symposium concluded with an interdepartmental counter-terrorism drill and exchange session, with the participation of the GFS, the Hong Kong Police Force and the Hong Kong Fire Services Department, showcasing Hong Kong’s professional capabilities in responding to terrorist attacks.

The Controller of the GFS, Captain Eddie Liu, said that the GFS has always played an important role in emergency response and rescue. “In addition to assisting in search and rescue, providing air ambulance and other emergency aeromedical services, the GFS also shoulders the responsibility of maintaining internal security of the HKSAR,” he said.
“In emergencies such as terrorist attacks, the GFS would make rapid deployment to assist the disciplined services in conducting air assault, offering all-round support to the HKSAR Government’s overall counter-terrorism efforts.”
Since its establishment in 1993, the GFS has served at the forefront of round-the-clock search-and-rescue and emergency aeromedical operations, while the ISERAS aims to collectively build a truly transnational pool of professional expertise, thereby underscoring Hong Kong’s status as an aviation hub for emergency response in Asia.
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Swire Coca-Cola HK Refreshes the 2026 Sun Life Hong Kong International Dragon Boat Festival with Giant Festive Installation at the Avenue of Stars
Deeply rooted in the city for over six decades, Swire Coca-Cola HK is driven by its brand purpose “to deliver refreshment to the communities we call home” and has proudly been part of many of Hong Kong’s defining moments. From local festivities and cultural events to large-scale sports and tourism experiences, the brand has long connected with the community, dedicated to supporting Hong Kong’s vibrant mega-event economy. Serving as the Official Beverage Sponsor of the event this year represents another milestone in its mission to share joy and create unforgettable summer memories.
Festive Photo Spot: Two-Metre Giant Coca-Cola® Bottle on the Avenue of Stars
To amplify the festive spirit, a giant, two-metre-tall Coca-Cola® bottle, accompanied by a dragon boat-themed installation, will land on the Avenue of Stars. Set against the dazzling backdrop of Victoria Harbour, this striking display will be available from 19 June to 1 July, offering the compelling photo spot for the public to capture memorable moments while enjoying the thrilling races.
Festive-Themed Combo Meals: Redeem Limited-Edition Mystery Gifts
Echoing the culinary excitement of the event’s special “Dragon Boat Food Lane”, Swire Coca-Cola HK is partnering with designated kiosks and stalls along the Avenue of Stars to launch festive-themed combo meals. During the race days on 27 and 28 June, consumers who purchase a designated meal set featuring Swire Coca-Cola HK products, or buy two or more selected Swire Coca-Cola HK products, will receive a redemption voucher. This voucher can be used to redeem the brand’s mystery gift at the redemption counter at specified timeslots, available on a first-come, first-served basis.
Boosting Energy and Keeping Paddlers Hydrated
Given the intense physical demands of dragon boat racing, the brand is also throwing its full support behind the local and international paddlers. Multiple bonaqua® water stations will be set up across the event venue to ensure over 4,500 athletes stay hydrated. Additionally, electrolytes replenishment drink Aquarius® will be provided to offer a vital energy boost, helping paddlers power through to the finish line.
Paddling Towards a Greener Future
Beyond the excitement of the races, Swire Coca-Cola HK also brings sustainable practices to the celebration. In collaboration with local social enterprise V Cycle, the brand will set up multiple plastic bottle recycling stations during the race days on 27 and 28 June. Collected bottles will be transported to New Life Plastics, Hong Kong’s largest food-grade-ready plastic bottle recycling facility. The recyclables will be processed into recycled PET (rPET) materials and reintroduced into the supply chain to create new bottles. This “bottle-to-bottle” initiative highlights a successful circular economy model by giving recycled plastic a second life, making environmental stewardship a core part of the event experience.
As the “2026 Sun Life Hong Kong International Dragon Boat Festival” unfolds, Swire Coca-Cola HK is excited to celebrate this summer spectacular with the locals and tourists. Through refreshing drinks, interactive fun, and recycling actions, the brand hopes to create lasting memories for all.
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iQOO 15R Named Official Gaming Phone for 2026 Asian Games Esports Qualifiers: Honor of Kings
The performance-focused smartphone will support tournament-level mobile gameplay with stable performance, responsive controls and sustained power.
DONGGUAN, CHINA – Media OutReach Newswire – 19 June 2026 – iQOO, a smartphone brand built for high-performance mobile gaming experiences, today announced that the iQOO 15R has been named the Official Gaming Phone for the 2026 Asian Games Esports Qualifiers: Honor of Kings.
As an official esports title of the Asian Games, Honor of Kings brings together competitive mobile esports players from across the region. Through this partnership, iQOO will support the Qualifiers with a device designed for competitive mobile gaming, reinforcing the brand’s commitment to supporting powerful, stable and immersive experiences for players and fans.
Supporting Tournament-Level Mobile Esports
Competitive mobile esports requires more than peak performance. Players often rely on consistent frame rates, responsive touch control and reliable power throughout extended matches. With the iQOO 15R serving as the Official Gaming Phone for the Qualifiers, iQOO aims to bring its performance-driven technology into a professional tournament setting and support players with a device built for speed, control and sustained gameplay.
Built for Stable, High-Intensity Gameplay
Designed as a performance-focused smartphone, the iQOO 15R is equipped to support the high demands of mobile gaming. Powered by the Snapdragon® 8 Gen 5 Mobile Platform and Monster HyperCore Engine, the device is engineered to help deliver stable frame rates and responsive gameplay during extended sessions.
The Supercomputing Chip Q2 is designed to enhance visual clarity for a more immersive gaming experience, while the Super Touch Control Chip is designed to improve input accuracy and control response. In addition, the advanced cooling system and large-capacity Silicon Anode Battery with fast charging help provide the sustained performance and power required for tournament-level play.
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About iQOO
iQOO, a sub-brand of vivo, differentiates itself in performance and Esports experience. iQOO leverages the research, quality assurance and after-sales service expertise of vivo, and follows the brand ethos of i Quest On and On to push boundaries, innovate boldly and share the excitement of exploring future technology. With products offering Esports-standard capabilities, iQOO aims to become the top choice of consumers who are passionate about performance and gaming.
For more information, please visit
https://www.iqoo.com/en.
About Honor of Kings
Developed by TiMi Studio Group, Honor of Kings has become the world’s most-played MOBA. In 2025, the combined MAU of Honor of Kings titles surpassed 260 million. Featuring highly detailed and diverse character and battlefield design plus music created by world renowned composers including Hans Zimmer, Joe Hisaishi, and Howard Shore, Honor of Kings immerses players in a unique and colorful universe. Honor of Kings prides itself on being free to play and fair to win, with success determined by players’ skills and tactics. Honor of Kings is also home to a thriving esports ecosystem supporting competitive play from grassroots amateurs to elite professionals. To learn more about Honor of Kings, follow on
Twitter,
Facebook,
Youtube,
Instagram,
TikTok or visit the official
website of Honor of Kings.
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