US and China reach phase one trade deal: source
A deal is done, with some fine-tuning on the details underway
Source telling FOX Business' Hillary Vaughn that phase one of the China trade deal is done, but details are still to be determined.
The chances of a U.S.-Chinese trade truce rose Friday, though Beijing has yet to confirm things.
“Negotiations must be based on the principles of equality and mutual respect,” said a foreign ministry spokeswoman, Hua Chunying, repeating Beijing’s long-held position. “The deal must be mutually beneficial, a win-win.”
The United States and China have completed phase one of a trade deal, a source confirms to FOX Business. Details of the deal are still being fine-tuned but the December 15 tariffs will not happen, FOX Business has confirmed along with other key points.
US-China Phase 1 Deal - What We Know
- The Chinese agree to buy $50B in agriculture, but will not write that amount down on paper. It’s a verbal agreement on the number of purchases
- On paper, it includes a section on stronger intellectual protections
- Includes language around an end to currency manipulation by the Chinese
- Phase 2 negotiations will happen after the 2020 elections
President Trump is expected to announce more details on Friday and as of now, a signing ceremony is not happening with President Xi.
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Trump has stated he wanted to have the signing in Iowa as a boost to the farming community.
Reports that a deal was ‘imminent’ surfaced during the final hour of trading, giving the S&P 500 and Nasdaq a lift to all-time closing highs, while the Dow Jones Industrial Average was just shy.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| SP500 | S&P 500 | 6977.27 | +10.99 | +0.16% |
| I:COMP | NASDAQ COMPOSITE INDEX | 23733.904411 | +62.56 | +0.26% |
| I:DJI | DOW JONES AVERAGES | 49590.2 | +86.13 | +0.17% |
Earlier on Thursday President Trump hinted, in a tweet, that the two nations were "Getting VERY close to a BIG DEAL with China..."
FOX Business' Edward Lawrence and Hillary Vaughn contributed to this report.