Overview

• Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick and US Trade Representative Jamieson Greer met Vice Premier He Lifeng on Monday to follow up on a 90-day tariff truce agreed in Geneva last month
• The US offered to ease specific semiconductor export curbs, excluding high-end Nvidia chips, in return for Beijing guaranteeing increased rare earth shipments
• Asian equities gained modestly while European shares held steady and Wall Street futures were mixed as investors eyed signs of progress in the talks
• Official data showed China’s exports to the US plunged 12.7% in May and consumer prices fell 0.1% year-on-year for a fourth straight month, underscoring deflationary pressures
• The Federal Reserve is weighing the risk of tariff-driven inflation ahead of Wednesday’s CPI report even as resilient May job growth dampens forecasts for substantial rate cuts this summer