Tense Markets: Uncertainty Clouds U.S.-China Relations

The financial markets in China and Hong Kong remained mostly unchanged on Tuesday amid a backdrop of uncertainty surrounding U.S.-China relations. At the close of trading, the Shanghai Composite Index rose slightly by 0.04%, closing at 3,861.86, while the blue-chip CSI300 fell by 0.2%.

In Hong Kong, the Hang Seng Index decreased marginally by 0.03%, marked at 26,438.51, with the technology index gaining 0.6%. Investors remained wary due to lingering uncertainties in the U.S.-China trade talks, despite an announced framework deal on TikTok that awaits confirmation between Presidents Trump and Jinping.

The trading session followed an accusation by China against Nvidia for violating anti-monopoly laws, further exacerbating the trade dispute. Analysts from Nanhua Futures suggested stock indices may stay range-bound as geopolitical factors and the Federal Reserve's upcoming meeting dominate investor focus.