Despite the Chinese denial, rumors of tariff reductions on American goods, particularly artificial intelligence chips, have shaken global markets. The price of gold saw a sharp decline to $3,320 per ounce, while stock indices led by the technology and industrial sectors rose, and the U.S. dollar recovered. In contrast, U.S. monetary policy officials warned of the potential negative effects of tariffs on inflation and the labor market, while recent American statements appeared more conciliatory towards Beijing, enhancing hopes for a trade agreement. The fate of tariff revenues remains a contentious point, as analysts question their sufficiency to offset tax cuts and their impact on inflation. Markets are cautiously awaiting developments on this contentious issue and whether these rumors will change the course of trade relations between China and the United States.