China Stocks Surge on Trade Deal Optimism; Rare Earth Majors Surge

Published on 10/27/2025 at 04:14 am EDT
(MT Newswires) -- Chinese stocks surged on the first trading day of the week amid optimism regarding trade uncertainties between the U.S. and China.
The Shanghai Composite Index, the main gauge of Chinese stocks, gained 1.2% or 46.63 points to 3,996.94, slightly below the 4,000-point level. The Shenzhen Component Index increased 1.5% or by 200.22 points to 13,489.40.
Both the U.S. and China reached a deal that could avert 100% tariffs on Chinese items and defer the implementation of Beijing's rare earth export controls, Treasury Secretary Scott Bessent said in a television interview.
The framework Bessent reached with Chinese Vice Premier and top trade negotiator He Lifeng was a "very substantial framework" that could help Presidents Donald Trump and Xi Jinping with their discussions in November, he said in NBC's "Meet the Press."
"I'm also anticipating that we will get some kind of a deferral on the rare earth export controls that the Chinese had discussed," Bessent said during the interview.
Investors who have been watching the trade tensions on the sidelines have called the developments "a pretty positive surprise," Reuters reported separately, citing Everbright Securities International securities strategist Kenny Ng.
Meanwhile, Chinese industrial profits surged nearly 22% in September to reach 680.2 billion yuan. For the nine months through September, total industrial profits increased 3.2% to 5.373 trillion yuan.
The CSI Rare Earth Industry Index jumped nearly 3% at market close.
Xiamen Tungsten surged 10%, while China Northern Rare Earth (Group) High-Techclosed 4% higher.

Sumber : MT Newswires