TLDR
- US and China achieved progress on a trade deal framework easing tariff risks.
- Bitcoin rose 1.8% and Ether gained 3.6% after the trade update.
- Bessent said the tariff threat helped secure a “substantial” framework deal.
- Trump and Xi will meet at the APEC summit to finalize the agreement.
Global investors began the week on a strong note after the United States and China made major progress on trade negotiations. Treasury Secretary Scott Bessent confirmed a “substantial” trade framework that could prevent upcoming tariffs, boosting global risk sentiment and driving gains across equities, commodities, and cryptocurrencies.
Trade Progress Announced by Treasury Secretary Bessent
United States Treasury Secretary Scott Bessent announced that both countries reached a framework for an agreement that may remove the 100% tariffs announced by President Donald Trump earlier in October.
“President Trump gave me a great deal of negotiating leverage with the threat of 100% tariffs on November 1, and I believe we have reached a very substantial framework that will avoid that,” Bessent said during a media briefing.
The update came after weeks of improving communication between Washington and Beijing. President Trump also confirmed a scheduled meeting with China’s President Xi Jinping at the Asia-Pacific Economic Cooperation (APEC) summit on October 31 to finalize the framework.
Market Reaction and Crypto Response
The news triggered a strong rally across global markets. Bitcoin traded at $113,521, gaining 1.8% in 24 hours. Ether advanced 3.6% to $4,069, while Solana rose 3.7% to $198.76. The rebound followed steep declines earlier in October after new tariff threats disrupted market confidence.
Market data indicated improved liquidity and increased buying activity across exchanges. Traders noted stronger price stability and renewed demand in both digital and traditional assets. The announcement eased investor caution, driving a wave of positive momentum across the financial sector.
Analysts Expect Broader Market Recovery
Market analysts described the development as a stabilizing event for financial sentiment. Jeff Park, an advisor at Bitwise, said the trade progress could push Bitcoin and gold toward new all-time highs if talks continue.
Investor Anthony Pompliano added, “Asset prices will get crazy this week if the US-China trade deal is announced and the Fed cuts interest rates.” Traders expect heightened market activity and increased volatility as investors await final confirmation of the framework at the APEC summit.
Economic Context and Future Outlook
The progress between the United States and China aligns with a period of stable inflation near 3% in the US. Steady consumer demand and easing price pressures have supported overall market resilience.
Policymakers now have greater flexibility to maintain economic growth and ensure financial stability. Crypto markets, which remain sensitive to policy and macroeconomic changes, reacted quickly to the update.
If the framework is confirmed on October 31, analysts foresee broader institutional participation and continued upward movement across risk assets.The progress announced by Secretary Bessent marks a constructive step toward stabilizing US-China trade relations and restoring investor confidence in global markets.
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