#USChinaTradeTalks US-China trade negotiations are underway in London, with US Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and Trade Representative Jamieson Greer meeting with China's Vice Premier He Lifeng. The talks aim to ease tensions between the two economic superpowers, particularly regarding China's export curbs on rare earth minerals. These minerals are crucial for goods like electric vehicle batteries.

The trade talks have sparked optimism, with oil prices holding steady above $66 per barrel. However, concerns remain over OPEC+ production and geopolitical risks. China's exports grew slower than expected in May, with a 4.8% year-on-year drop, while imports suffered a forecast-beating decline. The trade war has taken a toll on China's economy, with deflation and falling prices posing a threat to growth.

The outcome of the trade talks could significantly impact market sentiment and global economic growth. Analysts believe that a positive outcome could weaken the negative economic impact of the trade war. Meanwhile, gold prices are trading cautiously, with traders awaiting the US Consumer Price Index data and the outcome of the US-China trade talks for fresh trading impetus.