Chinese stocks soar after Trump-Xi meet in Busan
Chinese stocks just hit their highest point since 2015, after US President Trump and China's Xi Jinping met in Busan.
The Shanghai Composite nudged up to 4,025.70, and Hong Kong's Hang Seng gained too—both riding a wave of optimism over possible trade progress.
Banking and insurance shares lead the charge
These gains are big: Shanghai is up nearly 20% in 2025, and the Hang Seng has soared over 30%. Most of the action is in banking and insurance shares, amid optimism over potential tariff reductions.
Trump even floated cutting US tariffs if China cracks down on fentanyl chemical exports—but tough issues like tech controls are still hanging.
For young investors or anyone watching global trends, it's a reminder that what happens between the US and China can shake markets everywhere.
Global funds are betting big on China
This was Trump and Xi's first face-to-face since his re-election, putting trade back in focus.
The US recently doubled some tariffs on Chinese goods; China answered with export limits on rare earths.
Still, global funds are betting big on China thanks to its strong exports and tech growth—especially AI and semiconductors—even if any deal right now looks more symbolic than sweeping.