FX.co ★ China Stocks Edge Higher on Trade Optimism

On Friday, the Shanghai Composite index modestly increased by 0.1% to hover around 3,300, while the Shenzhen Component advanced by 0.2% to reach 9,898. This recovery offset the losses from the previous day, as investors grew optimistic about a potential easing of US-China trade tensions. These gains were influenced by comments from US President Donald Trump on late Thursday, asserting that trade negotiations with China are still underway, counteracting Beijing's claim that no such talks are currently happening. Furthermore, a White House official confirmed that both lower-level in-person meetings and a phone call between US and Chinese delegates took place this week. This enhanced investor confidence was evident in the robust performance of major stocks like Satellite Chemical, which surged 8.3%, Merit Interactive, up by 9.9%, and Tianbao Infrastructure, climbing 9.6%. Over the course of the week, the Shanghai and Shenzhen indexes have risen by approximately 0.7% and 1.4%, respectively.