As of April 23, 2025, relations between China and the U.S. remain fraught, dominated by an intensifying trade war and deep diplomatic discord.
But this week, U.S. President Trump told reporters that tariffs on China would drop “substantially,” sparking a notable lift in equity and crypto markets.
President Trump to Play ‘Nice’; Treasury Secretary Bessent Sees a ‘De-Escalation With China’
At present, all four major stock indexes sit in positive territory, and the crypto sector has climbed 3% over the past 24 hours. The rebound follows Trump’s suggestion that he would be “very nice” in forthcoming trade talks with Beijing. He added, “It will come down substantially, but it won’t be zero.”
Washington has slapped tariffs on Chinese imports as high as 145%, aiming to rectify trade imbalances and address what the administration deems unfair practices. Beijing retaliated with levies up to 125% on American exports, widening the confrontation. Projections suggest Trump may slash those duties by half. U.S. Treasury Secretary Scott Bessent told attendees yesterday that he anticipates a “de-escalation with China.”
Reports indicate Bessent’s remarks came during a closed-door investor summit convened by JPMorgan. Alongside stocks and crypto, U.S. Treasury bonds have registered modest gains. Thirty-year Treasury bond futures are trading near 115.03, up about 1.27% from the prior close, reflecting improved investor confidence. The yield on the 10-year note eased to roughly 4.33% after Trump reassured the press he plans a “nice” dialogue with China.
Meanwhile, an ounce of .999 fine gold changed hands at $3,289, easing 2.7% on Wednesday. Trump also reiterated that the U.S. “will have a fair trade deal with China.” Investors appear poised at a crossroads, balancing optimism over potential tariff relief against lingering skepticism about policy follow-through. As capital flows respond to shifting rhetoric, market participants will scrutinize each negotiation cue for signs of genuine compromise.
