Today's Edition
HONG KONG (REUTERS)
Chinese stock prices were little changed on Tuesday whereas those in Hong Kong fell, as initial euphoria over a Sino-US trade truce involving the reduction and delay of tariffs gave way to caution.
An agreement between US and Chinese officials after weekend talks in Geneva led to a rally in global markets and the US dollar.
However, fear that further negotiations could prove a slog lingered and weighed on investor sentiment.
China's blue-chip CSI 300 Index was little changed at midday while the Shanghai Composite Index added less than 0.1%.
In Hong Kong, the Hang Seng China Enterprises Index lost 1.8% and the benchmark Hang Seng Index weakened 1.7%, retreating from a six-week high. The Hang Seng Tech Index tumbled 3%.
US Treasury Secretary Scott Bessent, speaking after talks with Chinese officials in Geneva, said on Monday the sides had agreed on a 90-day pause on trade action.
The US will cut extra tariffs imposed in April on Chinese imports to 30% from 145% and Chinese duties on US imports will fall to 10% from 125%, the two sides said on Monday.
On Tuesday, the energy sector advanced 0.7% and the banking sub-index climbed 1.2%, leading onshore markets higher.
The strategically important rare earths sector - not mentioned in the talks - slipped 1%.
The consumer electronics sector lost 0.4%, giving up earlier gains on tariff relief.
Chinese stocks have recovered from a sell-off last month triggered by US President Donald Trump's punitive tariff measures on April 2.
The blue-chip CSI300 Index is now trading 0.2% above that day.
