A significant truce has been announced in the trade war between the United States and China following a successful round of negotiations held in Geneva. Here are the main points of the agreement:

Reduction of tariffs for 90 days:

The United States will reduce tariffs on Chinese goods from 145% to 30%.

China will lower tariffs on American goods from 125% to 10%.

The goal of this step is to provide a time window for deeper and more comprehensive negotiations.

Exclusion of certain issues:

Tariffs related to fentanyl (a dangerous narcotic) were not included in this agreement and are still under separate negotiation.

Market reaction:

Global markets responded positively:

U.S. stock indices, such as the S&P 500 and Nasdaq, rose.

The U.S. dollar strengthened, as did yields on U.S. Treasury bonds.

Some analysts expressed conditional optimism, considering the agreement surprising and positive but temporary.

Analysts' stance:

Some see this agreement as a real opportunity to mend the trade relationship, while others warn that it is merely a temporary ceasefire, and tensions may return later if a final agreement is not reached.

This truce gives both parties 90 days to attempt to resolve major trade disputes, but challenges remain, and the outcomes depend on what happens during this period.