Market focus shifts to potential breakdown in U.S.-China trade talks as leaders prepare for a high-stakes summit.
U.S. and Chinese officials are signaling the upcoming Xi-Trump summit may fail before formal discussions begin. Key sticking points include tariffs, technology restrictions, and market access, with no clear progress reported in pre-meeting negotiations.
The last round of talks in October ended without a joint statement, raising concerns about a prolonged trade war. Analysts warn that further escalation could weigh on global growth, particularly in tech and manufacturing sectors.
Equity futures in Asia and Europe dipped slightly on the news, while safe-haven assets like gold and the Japanese yen saw modest gains.