A spokesman for the China Ministry of Commerce told journalists Thursday afternoon that US and Chinese businesses were discussing the progress of back tariffs, saying rollbacks could happen even before a "phase one" trade deal was signed.
Japan's Nikkei ( N225 ) rose 0.3%, while the China Shanghai Composite ( SHCOMP ) ) fell 0.1%. Hong Kong Hang Seng Index ( HSI ) fell 0.6% and South Korea's Kospi Index ( KOSPI ) 0.3%.
China's statements have raised hopes ̵
1; again – that China and the United States are entering into an 18-month trade war resolution.
President Donald Trump announced earlier this month that countries had reached a "phase one" trade agreement, though this deal was not yet finalized. Trump has indicated that he and his Chinese counterpart Xi Jinping will sign the preliminary agreement at an economic summit in Chile this month, but the summit was canceled due to ongoing political crisis and violent protests over the planned host country.
The two sides were reportedly searching at a new location for a signing ceremony, but a Ministry of Commerce spokesman said there was no news of the moment.
The economic downturns, meanwhile, are not going away anytime soon, according to Moody's. The credit rating agency reversed its outlook for India from "stable" to "negative," saying Prime Minister Narendra Modi's government needs to be forced to pull growth from six-year low to 5%. .
"Financial stress on rural households, weak job creation, and a credit crunch at non-bank financial institutions have increased the likelihood of a more sustained slowdown," Moody said.
The Ministry of Finance of India responded to the collapse on Friday, saying that recent reforms to boost the economy would boost investment. "India continues to offer strong growth prospects in the near and medium term."