FX.co ★ China Stocks Rise Ahead of US-China Meeting

Mainland Chinese stocks experienced an uptick on Thursday, with the Shanghai Composite rising by 0.4% to exceed the 3,590 mark, while the Shenzhen Component saw a 0.5% increase, reaching 11,120. This upward movement was driven by optimism surrounding the recommencement of trade discussions between the US and China, propelling both indices to reach levels not seen for several months. Scott Bessent, the US Treasury Secretary, confirmed that officials from both Washington and Beijing are scheduled to convene in Stockholm next week. He expressed confidence that the current tariff ceasefire would be prolonged past its scheduled expiration on August 12. The positive sentiment was bolstered by the recent US-Japan trade agreement and indications of progress towards a US-EU deal. Investors are now focusing on the forthcoming data regarding China's industrial profits, expected this weekend, to glean insights on how domestic companies are navigating the persisting trade tensions. Notable leaders in this upward trend included Power Construction Corp with a 9.5% increase, Inner Mongolia and China Tourism Group both advancing by 10%, Zhejiang Haikong rising by 8%, and Tibet Gaozheng up by 10%.