Global shares rose Tuesday as news that the US and China are open to negotiating to avert a trade war put investors in a buying mood.
Last Thursday and Friday, the Dow lost more than a total of 1,100 points amid increasing signs of a looming trade war between the two major trading partners. The FTSE 100 index of leading British shares was 2 percent higher at 7,023.
"The US official's remarks are very unreasonable, and it demonstrates some people's ignorance and arrogance", said foreign ministry spokesperson Hua Chunying at a daily press briefing in response to US diplomat Jason Mack's remarks that China "tries to glorify its own idea of mutually beneficial cooperation". That announcement followed a news report saying US officials submitted a list of requests that China open up its markets. "China has always obeyed the rules of global trade, and we have always advocated equality and mutual benefit, and settle the differences through dialogue".
The Wall Street Journal reported that the U.S. and China have "quietly started negotiating" and that U.S. Treasury Secretary Steven Mnuchin is considering a trip to Beijing for talks.
He has moved on putting tariffs on aluminum and steel, and recently announced a plan to put tariffs on as much as $60 billion in Chinese products.
At a conference in Beijing Chinese Premier Li Keqiang repeated pledges to ease access to Chinese markets for American businesses.
Li says China would not force foreign firms to transfer their proprietary technologies and would strengthen intellectual property rights-two issues at the heart of U-S complaints against China. That said, the United States accounted for just 1 percent of China's total semiconductor imports past year by value, according to Reuters calculations based on Chinese customs data.
US officials said they're determined to press China to lower tariffs on cars and open up its financial services sector.
On Sunday, Treasury Secretary Steven Mnuchin said in an interview with a Fox TV program that the United States wants China to stop forcing USA firms to transfer technology when entering the market and lower its tariffs on U.S. goods.
"As with overall funding trend in AI, there are far fewer deals in China in 2017 than the U.S., but far greater funding", The Times reports CB Insights senior analyst Deepashri Varadharajan as saying.