Latest news with #USChinaTalks
Forbes
11-06-2025
- Automotive
- Forbes
China Market Update: Trade Truce Back On
CLN Asian equity markets cheered the readout from the US-China trade talks in London, as Taiwan and South Korea outperformed, while Singapore and Indonesia underperformed. The London talks re-implemented the Geneva agreement, marking a positive step that could pave the way for further negotiations to unwind the trade war. The big picture: the Chinese government's release made clear that the recent phone conversation between President Trump and President Xi Jinping was critical in making a deal feasible. One could argue there have been more substantive discussions during Trump's first six months than during the previous administration's four years. The Hang Seng Index cleared its pre-Liberation Day level and is closing in on its mid-March high, which would put it about 20% below its all-time high from February 2021. The Hang Seng Tech Index, Shanghai Composite Index, and Shenzhen Composite Index all returned to their pre-Liberation Day levels and continued to grind higher. Hong Kong saw another broad rally, with both growth (internet, electric vehicle/hybrid) and value (brokerage, precious metals, mining/metals, oil) sectors participating. Alibaba Group Holding Limited rose +1.34% despite going ex-dividend today, with a Hong Kong dividend of HK$0.13 and a US dividend of $1.05 per share. Gaming stocks were notably higher, led by Bilibili (+9.92%), NetEase (+2.05%), and Tencent (+0.88%), following a government release supporting gaming companies' efforts to 'go global.' The electric vehicle (EV) and hybrid sector also advanced, as BYD (+3.83%), XPeng (+3.02%), and NIO (+4.04%) outperformed. The rally was partly attributed to reports that auto companies had agreed to pay part suppliers within 60 days. The China Association of Automobile Manufacturers announced that, year-to-date through the end of May, 12.826 million cars were produced in China (+12.7% year-over-year) and 12.748 million cars were sold (+10.9% year-over-year). Notably, 44% of all cars sold were EVs and hybrids. Year-to-date through the end of May, EV and hybrid sales grew +44% year-over-year to 5.608 million units. Brokerage and financial stocks were higher on reports that the Shenzhen Stock Exchange would list Hong Kong stocks, though details remain sparse. Healthcare, which had been on a recent tear, declined in both Hong Kong (-0.79%) and Mainland China (-0.22%), perhaps a case of tempting fate. Mainland China also had a good session, though trading volumes were slightly below average. The Ministry of Finance announced support for improving the 'basic pension security level,' especially for the country's 300 million elderly, as well as further backing for free preschool education and accelerated implementation of the child care subsidy system. On the corporate front, Starbucks appears closer to selling a stake in its China business, according to Chinese financial media. The Ministry of Foreign Affairs weighed in on the Panama port sale by CK Holdings, stating opposition to 'coercion and bullying.' The port sale has been quiet lately—similar to the TikTok ban—proving the old adage: out of sight, out of mind! Live Webinar Join us Tuesday, June 17, at 10 am EDT for: Carbon Update: EU Market Momentum & California's Legal Landscape for Investors Please click here to register New Content Read our latest article: Navigating Global Crosswinds: Carbon Markets Respond to Tariff Tactics and Executive Orders Please click here to read Chart1 Chart2 Chart3 Chart4 Chart5 Chart6
Malay Mail
11-06-2025
- Business
- Malay Mail
US-China trade talks keep investors guessing, markets mixed
NEW YORK, June 11 — Global stock markets moved indecisively yesterday as investors waited for the outcome of US-China talks aimed at cementing a fragile trade war truce between the world's two biggest economies. A second day of high-level talks in London between the United States and China stretched into the evening Tuesday with no concrete announcements so far. US equities finished higher following a choppy session, while European ones closed in mixed territory, and Asia mostly closed down. US Commerce Secretary Howard Lutnick told Bloomberg Television that the talks were 'going well' and that he expected yesterday's discussions to last 'all day.' But FHN Financial's Chris Low said Lutnick's upbeat appraisal was offset by 'a TikTok channel associated with Chinese television suggesting that there are still some significant differences between the two sides.' Analysts said that any positive sign of agreement would fuel a rise in equities -- but that it could be restrained. 'We wouldn't bank on a big turnaround thanks to any potential trade breakthroughs,' said Thomas Mathews, head analyst of Asia Pacific markets for Capital Economics. 'We doubt that the US will back off completely. That's likely to restrain any relief rally,' he said. The talks were expected to be dominated by Chinese exports of rare earth minerals used in a wide range of products including smartphones, electric vehicle batteries and green technology. Beijing in return was looking for Washington to ease controls on its exports of sensitive electronic components. In Europe, Paris's CAC 40 closed slightly up but Frankfurt's Dax slipped well down. London's FTSE 100 index closed higher after weak UK unemployment data raised the chances of the Bank of England cutting interest rates into next year, a move which often propels stock prices. It could reach a new record this week if it continues to gain. Shares in European Union markets, in contrast, could be weakened by the conspicuous lack of any deal between Washington and Brussels before a July 9 deadline for 50 per cent US tariffs to take effect. Britain has already sealed an agreement. Investors are also awaiting key US inflation data this week, which could impact the Federal Reserve's monetary policy. Analysts warn Trump's tariffs will refuel inflation, strengthening the argument to keep interest rates on hold instead of lowering them when the Fed meets next week. Citing trade tensions and the resulting policy uncertainty, the World Bank lowered its 2025 projection for global GDP growth to 2.3 per cent in its latest economic prospects report, down from 2.7 per cent expected in January. The US economy is expected to grow by 1.4 per cent this year, a sharp slowdown for the world's biggest economy from a 2.8 per cent expansion in 2024. — AFP
CNA
10-06-2025
- Business
- CNA
US-China trade talks stretch into evening on second day
LONDON: A second day of high-level talks between the United States and China stretched into the evening on Tuesday (Jun 10), as officials gathered in London to defuse a bitter trade war that has been dragging on the global economy. Negotiators, who started meetings in the morning, held discussions during the day and took a break before an expected reconvening at 8.00pm local time, according to a US official. All eyes are on the outcomes of the talks as the world's two biggest economies try to overcome an impasse over export curbs and come to a longer-lasting truce in their tariff war. US Commerce Secretary Howard Lutnick earlier told Bloomberg Television that the talks were "going well", expecting them to last "all day". But global stock markets were on edge. With talks dragging on, "the lack of positive headlines weighed on stocks and the dollar," said Kathleen Brooks, research director at XTB trading platform. One of US President Donald Trump's top advisers said Monday that he expected "a big, strong handshake" after the meetings in the UK's historic Lancaster House. Trump told reporters at the White House on Monday: "We are doing well with China. China's not easy." The negotiations began on Monday in London, coming after an earlier round of talks in Geneva last month. This time, China's exports of rare earth minerals used in a wide range of things, including smartphones, electric vehicle batteries and green technology, are expected to dominate the agenda. "In Geneva, we had agreed to lower tariffs on them, and they had agreed to release the magnets and rare earths that we need throughout the economy," Trump's top economic adviser, Kevin Hassett, told CNBC on Monday. Even though Beijing was releasing some supplies, "it was going a lot slower than some companies believed was optimal", he added. "Our expectation is that after the handshake, any export controls from the US will be eased, and the rare earths will be released in volume," Hassett said. This marked a signal that the Trump administration might be willing to ease some recent curbs if China rolled back rare earths restrictions as well. CONCESSIONS? Tensions between Washington and Beijing have heightened since Trump took office in January, with both countries engaging in a tariff war, hiking duties on each other's exports. The Geneva pact to cool temperatures temporarily brought new US tariffs on Chinese goods down from a staggering 145 per cent to 30 per cent, and Chinese countermeasures from 125 per cent to 10 per cent. But Trump recently said China had "totally violated" the deal. And analysts remain cautious. "We doubt that the US will back off completely. That's likely to restrain any relief rally," said Thomas Mathews, head analyst of Asia Pacific markets for Capital Economics. Ipek Ozkardeskaya, senior analyst at the Swissquote Bank, said although there had been "no breakthrough," it seemed "the first day of the second round of negotiations reportedly went relatively well". On what he dubbed "Liberation Day" in April, Trump unveiled sweeping levies of 10 per cent on friend and foe alike, and threatened steeper rates on dozens of economies. The tariffs have dented trade, with official figures from Beijing showing Chinese exports to the United States in May plunged by 12.7 per cent. China is also in talks with other trading partners - including Japan and South Korea - to try to build a united front to counter Trump's tariffs. Chinese leader Xi Jinping on Tuesday urged South Korea's new President Lee Jae-myung to work with Beijing to uphold free trade and ensure "the stability and smooth functioning of global and regional industrial and supply chains," Xinhua news agency said. Chinese Vice Premier He Lifeng is heading the team in London, which included Commerce Minister Wang Wentao and China International Trade Representative Li Chenggang.
Bloomberg
10-06-2025
- Business
- Bloomberg
China and US Holding Second Day of Trade Talks in London
The US and China resumed talks into a second day in London, with financial markets on edge as the world's largest economies try to agree to allow exports of key tech and industrial goods and avoid escalating their trade war. The teams led by US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng were reconvening Tuesday just after 10:40 a.m. at Lancaster House. The Georgian-era mansion near Buckingham Palace has hosted major addresses by UK prime ministers, speeches by central bank governors and parties for Britain's royal family.
Arab News
10-06-2025
- Business
- Arab News
Oil Updates — prices rise as US-China talks counter OPEC supply worries
SINGAPORE: Oil prices climbed on Tuesday as investors awaited the outcome of US-China talks that could pave the way for easing trade tensions and improve fuel demand. Brent crude futures rose 22 cents, or 0.3 percent, to $67.26 a barrel by 09:45 a.m. Saudi time. US West Texas Intermediate crude was up 18 cents, or 0.3 percent, at $65.47. On Monday, Brent had risen to $67.19, the highest since April 28, buoyed by the prospect of a US-China trade deal. US-China trade talks were set to continue for a second day in London as top officials aimed to ease tensions that have expanded from tariffs to rare earth curbs, risking global supply chain disruptions and slower growth. Prices have recovered as demand concerns have faded with the trade talks between Washington and Beijing and a favourable US jobs report, while there are risks to North American supply due to wildfires in Canada, Goldman Sachs analysts said. US President Donald Trump said on Monday that the talks with China were going well and he was 'only getting good reports' from his team in London. A trade deal between the US and China could support the global economic outlook and boost demand for commodities including oil. Elsewhere, Iran said it would soon hand a counter-proposal for a nuclear deal to the US in response to a US offer that Tehran deems 'unacceptable,' while Trump made clear that the two sides remained at odds over whether the country would be allowed to continue enriching uranium on Iranian soil. Iran is the third-largest producer among members of the Organization of the Petroleum Exporting Countries and any easing of US sanctions on Iran would allow it to export more oil, weighing on global crude prices. Meanwhile, a Reuters survey found that OPEC oil output rose in May, although the increase was limited as Iraq pumped below target to compensate for earlier overproduction and Saudi Arabia and the UAE made smaller hikes than allowed. OPEC+, which pumps about half of the world's oil and includes OPEC members and allies such as Russia, is accelerating its plan to unwind its most recent layer of output cuts. 'The prospect of further hikes in OPEC supply continues to hang over the market,' Daniel Hynes, senior commodity strategist at ANZ, said in a note. 'A permanent shift to a market driven strategy (in OPEC) would push the oil market into a sizeable surplus in H2 2025 and almost surely lead to lower oil prices.'
