Breakthrough in China-US Negotiations! The Fundamentals of a Bull Market are Quietly Taking Shape!

Just now, China and the US reached a preliminary consensus on tariff issues in Vienna, with a joint statement expected to be released later. This marks the first increase in stock prices since Trump took office.

Core Points of the Negotiation:

China's Position:

Demanding the cancellation of all new tariffs, firmly opposing using issues like fentanyl as conditions.

Sovereign independence, refusing external interference, and maintaining technological and industrial autonomy.

Insisting on resolving disputes through the WTO, rejecting unilateral rules from the US.

Independently controlling the RMB exchange rate and the pace of financial opening.

US Position:

Proposing to reduce the 145% tariff by 80% (later reports indicated it would drop to 34%), but requiring China to cooperate on trade balance and fentanyl issues.

Emphasizing a reciprocal tariff policy, aiming to reduce China's trade deficit through high tariffs.

Maintaining tariff pressure, unwilling to fully cancel before negotiations.

Negotiation Progress:

May 10: Both sides engaged in over 10 hours of closed-door negotiations, with no specific progress disclosed, and the atmosphere was tense.

May 11: The atmosphere slightly eased, Trump proposed to reduce tariffs to 80% (media reported as 34%), but China did not respond immediately.

May 12: Both sides announced that they had achieved "preliminary progress" and agreed to establish a long-term trade mechanism.

Although the details of the agreement have not been made public, the market generally expects a significant reduction in US tariffs.

Summary:

As the negotiations progress, a foundational agreement between China and the US is gradually taking shape, market confidence is rebounding, and the fundamentals of a bull market are gradually forming!