Asian markets, except for Hong Kong and Mainland China, were lower on Trump’s steel and aluminum tariff talk as the U.S. dollar strengthened overnight.

They entered a bull market Friday, with the hype surrounding DeepSeek’s artificial intelligence model fueling broad interest in the country’s tech sector. The standout among them was Xiaomi, which makes everything from smartphones to electric vehicles to vacuum cleaners.

The Hang Seng Tech Index, which tracks the 30 largest technology companies listed in the city, rose as much as 2.9% on Friday, reflecting a rise of more than 20% from its January low.

Chinese technology stocks trading in Hong Kong appear poised to enter a bull market after AI models released by DeepSeek sparked renewed interest in China’s technology firms. Xiaomi’s Hong Kong stock was up 5.

China’s growing clout in the artificial intelligence space has sparked a wave of optimism toward the nation’s tech shares, with a gauge entering a bull market and brokers issuing upbeat calls.

The Hang Seng Tech Index gained 2.5% on Friday, with a total increase of more than 20% since January. It appears that DeepSeek’s hype has erased concerns of trade wars among Chinese investors, due to which China’s tech stocks in Hong Kong continue to surge.