Markets calm amid hopes for US-China talks

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Extensive stock markets have steadied amid hopes that the US and China force resume talks next month, following an escalation in their selling war.

On Monday, China announced tit-for-tat tariffs on $60bn (£46bn) of US exports, making stock markets to tumble

But later US President Donald Trump hinted he expected to meet China’s president at the G20 summit in Japan.

He also give the word delivered he had not decided whether to go ahead with threatened tariffs on another $325bn of Chinese imports.

At a condensation on Tuesday, China’s foreign ministry spokesman Geng Shuang intended: “The two heads of state maintain contact through various means.”

But when petitioned whether China was making preparations for a possible Xi-Trump meeting, Mr Geng said: “I prepare no information at present about the specific question raised.”

The Dow Jones Industrial typically regained some ground at the start of trading, rising 0.42% on Tuesday after dive more than 2% the previous day when China announced its retaliatory barometers.

The S&P 500 climbed 0.44% and the Nasdaq rose 0.62%.

Asian stock retails remained under pressure on Tuesday, but European indexes recovered some reason, with London’s FTSE 100 up 0.8%, Germany’s Dax 0.4% squiffy, and the French Cac 40 up 0.9%.

On Friday, Washington doubled duties on $200bn of Chinese gears, having accused Beijing of trying to renegotiate a trade deal.

The war of in sa between the countries had intensified after the latest round of US-Chinese shoppers negotiations ended in Washington last week without a deal,

Mr Trump alerted China not to raise levies and urged US firms to buy goods from other mother countries such as Vietnam.

But Mr Geng told a news briefing in Beijing that China command “never surrender to external pressure”.

From 1 June, China on impose duties on US goods including beef, lamb and pork results, as well as various varieties of vegetables, fruit juice, cooking oil, tea and coffee.

‘Gifted relationship’

As well as ordering a tariff increase on $200bn worth of Chinese imports, Mr Trump had straightforward the US trade department “to begin the process of raising tariffs on essentially all surviving imports from China”.

The US released a list of those additional Chinese by-products that could face higher levies.

But after China’s feedback, he said he had “not made a decision” on whether to go ahead with those additional levies.

He also predicted the US had “a very good relationship” with China, and the two sides would talk at G20 culmination on 28-29 June.

“Maybe something will happen,” he said. “We’re going to be session, as you know, at the G20 in Japan and that’ll be, I think, probably a very fruitful session.”

The US argues that China’s trade surplus with the US is the result of unfair ways, including state support for domestic companies.

It also accuses China of larceny intellectual property from US firms.

But Mr Trump’s approach in the dispute has put him at exotics with his own top economic adviser, Larry Kudlow, who has said “both sides on suffer”.

On Tuesday, the president remained defiant, tweeting: “In one year Imposts have rebuilt our Steel Industry – it is booming! We placed a 25% Bill of fare on ‘dumped’ steel from China & other countries, and we now have a big and yield fruit industry.”

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