FX.co ★ China Stocks Mixed Amid Trade Uncertainty

On Wednesday, the Shanghai Composite edged up by 0.4% to surpass 3,620, whereas the Shenzhen Component dipped by 0.3% to 11,250. This variation highlights the mixed performance of mainland Chinese stocks following the conclusion of US-China discussions in Stockholm on Tuesday, which did not result in a truce extension. President Donald Trump must now give the nod to the proposed agreement; if he does not and if an agreement is not achieved by the August 12 deadline, tariffs will revert to their April levels. Investors are also eagerly monitoring this week's Politburo meeting for any indication of potential stimulus measures designed to bolster the decelerating economy. In recent statements, President Xi Jinping expressed disapproval towards local governments for their excessive investments in industries such as artificial intelligence, computing power, and new energy vehicles. These remarks come as Beijing increases its efforts to combat deflationary threats and address industrial overcapacity concerns. Notably, industrial and financial shares experienced gains, contrasting with the underperformance of technology stocks.