๐บ๐ธ๐จ๐ณ U.S.โChina Reach Basic Agreement on 115% Tariff Reduction โ 90-Day Renegotiation Period Included
The U.S.โChina trade talks held in Switzerland concluded on May 12, followed by a joint press conference with U.S. Treasury Secretary Bessent and USTR Representative Greer. A joint statement was also released, triggering a broad risk-on sentiment in the markets.
๐ Key Agreement Highlights:
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China will reduce its 125% retaliatory tariffs on U.S. goods by 115 percentage points, bringing the effective rate to 10%.
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Of this, 24 percentage points will be subject to a 90-day renegotiation period.
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The U.S. will also significantly reduce its 145% tariffs on Chinese goods in phases.
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Treasury Secretary Bessent commented:
โThe mutual reduction of tariffs marks real progress,โ
reassuring financial markets.
๐ Market Impact
Following the announcement, global markets responded with a clear shift toward risk appetite:
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Equities rise, yen weakens, and commodities gain
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Strong buying seen in yen crosses (USD/JPY, AUD/JPY, GBP/JPY)
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Capital inflows into Bitcoin and U.S. stock indices (S&P 500, NASDAQ) expected
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Gold and crude oil also attract short-term buying in a risk-on environment
๐ Initial Trade Outlook (Flash Update)
We are currently assessing the full details of the agreement and market response.
Starting today, we will focus on short-term trades aligned with the trend, especially in:
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Yen crosses
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Stock indices
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BTC/USD
More updates will follow as price action confirms momentum.
