Chinese and US trade officials resumed talks on Friday October 11th, as optimism takes the upper hand for the two sides to reach an interim deal, and to mark a pause in their increasingly damaging trade war, AFP reported.
Wall Street was poised to rally when it opened, as investors bet that a partial pact would see President Donald Trump postpone next week's scheduled tariff increases of hundreds of billions of dollars on Chinese imports.
Trump was expected later Friday October 11th to meet with Beijing's top trade envoy Liu He, in a sign that the two sides are expected to make a positive announcement.
The US president said that US-China trade talks were going well, as the second day of top-level negotiations aimed at rolling back tensions between the world's two largest economies began.
"Good things are happening at China Trade Talk Meeting. Warmer feelings than in recent past, more like the Old Days. I will be meeting with the Vice Premier today. All would like to see something significant happen!" Trump wrote in a post on Twitter.
Meanwhile, China's securities regulators set a timetable for removing foreign ownership limits in finance companies in 2020, helping attract foreign investment as China's economy slows, but also removing constraints on foreign capital.
Chinese Foreign Ministry spokesman, Geng Shuang, told reporters that China hoped "to promote positive progress" in the talks.
Media reports this week have drawn the contours of a partial deal that, while not addressing Trump's core grievances about China's trade practices, would offer something for both sides.
Bloomberg reported that China will continue to increase purchases of US farm exports, and pledge to refrain from currency manipulation, while Washington will suspend a tariff increase.
China has so far rejected Trump's demands for profound changes in the way Beijing manages its economy, something analysts say could politically undermine the ruling Communist Party.
The Trump administration has, meanwhile, continued to examine ways in which it could exert more pressure on Beijing beyond simply taxing Chinese imports.