FX.co ★ China Stocks Struggle Despite Trump-Xi Call

The Shanghai Composite index experienced a modest increase of 0.04% to close at 3,385, while the Shenzhen Component index experienced a slight decline of 0.19% to end at 10,183 on Friday. This performance reflects the uncertain trajectory of mainland Chinese stocks following a significant phone conversation between U.S. President Donald Trump and Chinese President Xi Jinping. The dialogue resulted in an agreement to persist with trade discussions, offering some relief concerning the recent rare earths dispute. Nonetheless, the lack of specific details from the talks has left investors wary, with persistent concerns that heightened tensions may continue to overshadow market stability. Investors are now turning their focus to China's forthcoming inflation and trade data, set to be revealed on Monday, which could provide clearer insights into the nation's economic direction. On the corporate front, notable gains were recorded by Eoptolink Tech with a 2.9% increase and Avic Chengdu with a 3.9% rise. In contrast, Shenzhen Forms plummeted by 7.6%, and Contemporary Amperex slipped by 1.0%, exerting downward pressure on the broader market. Over the span of the week, the Shanghai Composite advanced by 1.13%, and the Shenzhen Component saw an increase of 1.42%.