Chinese ADSs in the Green on "Phase I" of Emerging Trade Deal
Wall Street breathed a sigh of relief on Friday on news that some agreements on trade have been made by the Trump administration and the delegation from China, headed by Vice Premier Liu He.
Hopes for an interim trade deal, after all the speculation, turned to reality today after the Trump administration announced some progress in sectors including farming, intellectual property rights and currency, according to Reuters. The tariff jump, scheduled for Oct. 15, has been suspended, though previously imposed tariffs remained in place.
Meanwhile, many Chinese stocks in various industries ended the week on a positive note.
Titan Alibaba Group Holding Ltd. (NYSE: BABA) ended the day 4% higher, at $172.94 per American depositary share. Its rival in e-commerce, JD.com Inc. (Nasdaq: JD) closed $1.13 higher, at $29.93 per ADS. Another retail platform, Pinduoduo Inc. (Nasdaq: PDD) gained 3%, ending at $32.86 per share.
Search engine Baidu Inc. (Nasdaq: BIDU) was 81 cents up, at $104.66 per ADS. Social platform Weibo Corp. (Nasdaq: WB) jumped nearly 2% to $48.52 per share. Its parent, internet giant Sina Corp., also closed up 2%, at $40.88.
Game livestreaming platform DouYu International Holdings Ltd. (Nasdaq: DOYU) was up 5%, at $8.53 per ADS, with rival Huya Inc. (NYSE: HUYA) at its heels, up more than 3% at $22.34 per share. The stock in entertainment platform IQiyi Inc. (Nasdaq: IQ) jumped 5% to $16.46 on the day.
Some in the fintech sector also gained, with Jiayin Group Inc. (Nasdaq: JFIN) up 4%, at $11.43 per ADS and 9F Inc. (Nasdaq: JFU) at a 2% rise to $11.98 per share.
Auto stocks improved across the board, with Kandi Technologies Group Inc. (Nasdaq: KNDI) up 3%, and Nio Inc. (NYSE: NIO) and Niu Technologies (Nasdaq: NIU) both gaining 2% Friday.
U.S. President Donald Trump called the agreements "Phase I" on the way to end the trade war that has lasted for more than 15 months, as reported by Reuters.
"Phase two will start almost immediately" after the first phase is signed, Trump said in the Oval Office next to Liu, according to CNBC.
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