Chinese stocks have drifted lower before the next round of US-China trade talks, with Treasury Secretary Scott Bessent and Vice Premier He Lifeng facing the task of negotiating down new escalatory measures between the world’s two largest economies. China’s state-owned Xinhua News Agency reported the two sides had a frank, in-depth, and constructive exchange of views on important issues in bilateral economic and trade relations. Recent comments by Scott Besset and President Trump have also signalled an effort by Washington to calm fears of a full-blown trade war with Beijing that could have a seismic effect on the global economy. At this stage, we feel a resolution is looking increasingly likely.
- We can see a deeper pullback by the Shenzhen CSI 300 short-term, but new 2025 highs still feel likely.
MM remains bullish on Chinese equities into 2026
Add To Hit List
