Chinese Stocks Rise as Donald Trump and Xi Jinping Agree on Ceasefire in Trade War
Stocks in the Asia-Pacific are mostly on the rise following an official meeting between the U.S. and Chinese presidents Donald Trump and Xi Jinping, CNBC reports Monday, July 1.
The Shanghai Composite grew by 2.22% on the day and reached 3,044.90. Japanese Nikkei 225 saw a 2.13% increase and reached 21,729.97. Australia’s S&P/ASX 200 gained 0.44% and closed at 6,648.10.
However, South Korea’s KOSPI closed at 2,129.74, seeing a mild decrease of 0.04%.
Hong Kong’s Hang Seng index was not trading on Monday, as the city faced widespread demonstrations as part of the annual July 1 democracy march.
During a meeting on the sidelines of the G20 summit in Osaka, Japan, the presidents of China and the U.S. agreed to temporarily put their trade war on halt. Trump and Xi both announced that they did not have any intention to impose new tariffs at the time.
Following the meeting, Trump announced that the renewed trade talks with China have “already begun.” The U.S. president has even said that he is considering lifting the ban on Chinese tech giant Huawei.
On May 16, the U.S. administration added Huawei to the list of companies that are banned from supplying telecommunication gear to U.S. companies and vice versa.