China's Resilient Stock Rally Amid U.S. Tariff Tensions

Following U.S. President Donald Trump's imposition of 104% tariffs, Chinese and Hong Kong stocks rose as China signaled a willingness to engage in talks. The market rebound was driven by state support and investor focus on high-tech sectors, despite ongoing trade tensions.

Chinese and Hong Kong stocks experienced an uptick on Wednesday, largely buoyed by a newly issued Chinese white paper suggesting openness to negotiations amid ongoing U.S. tariff tensions.

The blue-chip CSI300 Index rebounded to close 1% higher after an initial drop, while the Shanghai Composite Index increased by 1.3%. Hong Kong's Hang Seng Index also saw a 0.7% rise.

Looking to fortify market confidence, China's state entities and investors have been injecting capital, particularly in high-tech sectors, as a strategic move in their bid for technological self-reliance amid escalating trade conflicts.

(With inputs from agencies.)