President Donald Trump is expected to formally present an interim deal with China as soon as Friday that will avoid further escalation of a trade war that for nearly two years has hung over the world's largest economies and thus nearly any country or company doing business in them.
USA stocks hit a fresh record on hopes there will be a continued softening of trade tensions between the world's two largest economies.
A phase-one pact is expected to be built largely around a significant increase in Chinese agricultural purchases in exchange for the US delaying a new round of tariffs scheduled to take effect December 15 and a reduction in existing levies on Chinese goods. Investors expressed some wariness of placing too much faith in the trade developments given the continued ups and downs during the prolonged U.S.
The United States and China separately announced Friday they have reached agreement on the text of the first phase of a trade pact and will avert imposing further tariffs on each other.
China's Ministry of Commerce said Thursday that its negotiators were in "close communication" with their American counterparts ahead of the new round of tariffs.
President Trump has locked down a phase one trade deal with China.
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Conservative Leader Andrew Scheer said the anniversary shows the Liberals are unable to handle the China file. The codes could not be used or shared because they'd been obtained during a CBSA examination.
In a sign of strained ties, senior Chinese diplomat Wang Yi blasted Washington for damaging relations by criticizing Beijing over issues such as Hong Kong and the treatment of Muslim Uighurs, although he did not specifically mention the trade war.
China and the U.S. have reached an initial trade deal, according to China's commerce ministry while Donald Trump tweeted that both sides had agreed to a "very large Phase One Deal".
Wall Street's main indexes hit record highs on Thursday following news that the United States had reached a "deal in principle" with China to resolve a trade war that has rattled markets for almost two years.
Trump tweeted, "we have agreed to a very large Phase One Deal with China". Advocates of delaying the tariff increase have argued that continued negotiations with Beijing will enable him to maintain a tough line with Beijing without the economic damage that more import taxes might bring.
Trump's overall goal with China, a keystone of his presidency, is to uproot what Washington says are Beijing's predatory trade practices, including forced technology transfers and massive intellectual property theft.
"China is ready to work with the USA side to do more to promote growth in trade", said Liao Min, deputy finance minister.
China also indicated it could reinstitute tariffs suspended at the beginning of 2019, including a 25 percent levy on US-made vehicles and a 5 percent tariff on auto parts.
"These results really make the United Kingdom equity markets investible again", said Sue Noffke, head of United Kingdom equities at Schroders. He has repeatedly said the negotiations are going well, even as trade officials struggled to reach a deal. Some experts say it's possible that talks may be suspended altogether until after the USA presidential election in November 2020.