High-Stakes Summit Leaves Investors Unsteady

China's stock market experienced fluctuations on Friday morning as investors remained cautious during the high-stakes summit between U.S. President Donald Trump and Chinese President Xi Jinping. The blue-chip CSI300 Index and Shanghai Composite Index saw slight increases after dipping earlier, while the Hang Seng index in Hong Kong fell over 1%.

The summit's agenda includes significant discussions, with both leaders expected to have tea and lunch before Trump returns to the U.S. A key focus is on any positive developments, such as potential tariff reductions. Although Trump announced China's agreement to purchase 200 Boeing jets, this was fewer than analysts anticipated, leading to a drop in aviation stocks.

Meanwhile, chip stocks performed strongly, rising 8% following reports that China's SMIC observed a shift of foreign orders back to China. U.S. Trade Representative Jamieson Greer highlighted ongoing firm deals, including China's purchase of farm goods, beef, and Boeing aircraft. The yuan maintained its strength during the summit, experiencing a slight dip after reaching a three-year high against the dollar.

(With inputs from agencies.)