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Asian Stocks Rise; U.S. Set for Months-Long Negotiations With China

Published 03/28/2019, 10:27 PM
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Investing.com - Asian stocks rose in morning trade Friday as Sino-U.S. trade talks progressed but seemed destined to continue for some time.

The trade talks were in focus after White House economic adviser Larry Kudlow said the U.S. is prepared to negotiate with China for moths in order to reach a trade deal.

China’s Shanghai Composite and the Shenzhen Component gained 1.4% and 1.6% by 10:15 PM ET (02:15 GMT). Hong Kong’s Hang Seng Index rose 0.6%.

Japan’s Nikkei 225 advanced 1%. South Korea’s KOSPI edged up 0.2%.

Down under, Australia’s ASX 200 traded 0.4% higher.

The focus remained on the U.S.-China trade negotiations. In a speech in Washington on Thursday, Kudlow said negotiations could take a few more weeks, or even months.

“We have to get a great deal, as the president says, that works for the United States. That’s our principal interest,” he said.

Kudlow also said the U.S. may remove some of the tariffs on Chinese goods.

“We’re not going to give up our leverage,” he said. “It doesn’t necessarily mean that all of the tariffs would be kept in place. Some of the tariffs would be kept there. Again, when Bob Lighthizer comes back, he will illuminate all of us on that. That’s part of the negotiations and we’ll see."

His comments eased investor worries that a lack of progress on talks could lead to an all-out trade war.

U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin began a two-days meeting with Chinese negotiators in Beijing on Thursday. Mnuchin told reporters that he had a “productive working dinner.” Officials are set to continue the discussions today.

Chinese Vice Premier Liu He will travel to Washington next to meet with U.S. negotiators as well as President Donald Trump, according to Kudlow.

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