The political-economic program "Xi-Trump Summit" has concluded. What was achieved?
1. The world watched a comedy titled "Frenemies",
2. There is a result that appears to be no result,
3. There is a super result that rewrites the global AI industry.
"Frenemies" is a comedy that premiered in the United States in January 2012, translated into Chinese as "Battle of Friendship", telling the story of three teenage pairs who turn from friends to enemies and back to friends again during a fashion competition. As it is a comedy, it ends with a happy ending.
Recently online, many people have seen cartoon depictions of the Xi-Trump summit.
The result that appears to be no result is the extension of the expiry date of the "Busan Agreement" reached between Chinese President Xi Jinping and U.S. President Trump during their meeting in Busan, South Korea in October 2025, from November 10, 2026 to January 10, 2027. In business operations, this is called deferring to the next meeting. In imperial terms, it means adjourning without issues. What has been deferred? See column one.
With the Busan Agreement extended to January 10, 2027, two future summits must be completed by December 31, 2026. What does this mean?
It means two summits will be held within the next 60 days, leaving Chinese and American diplomatic staff with no time to sleep. Besides the diplomatic staff, many others will also lose sleep.
Recall, what happened on January 3, 2026?
The United States arrested Venezuela's legitimate president Maduro and instead "appointed" a puppet president, seizing Venezuela's oil production and export rights.
On February 28, it attacked Iran, cutting off oil exports through the Strait of Hormuz until now.
80% of Venezuela's oil output is exported to China (about 400,000 barrels/day), and 90% of Iran's oil is exported to China (accounting for 13% of China's oil imports).
*The U.S. attempts to cut off China's oil supply but is countered by rare earth restrictions*
Within the first quarter of 2026, the U.S. cut off China's main affordable oil sources. China could only turn to Saudi Arabia and Iraq for procurement, but affordability was lost. The only remaining affordable oil source is Russia, which became the largest supplier in 2025, accounting for 17.5% of China's imports.
How did China respond? With less affordable oil from Venezuela and Iran, China bought more expensive oil and still purchased significant amounts of smuggled oil.
China's counterattack was to restrict rare earth exports.
How did the U.S. respond? By establishing five new/cooperative departments:
*Economic Defence Unit
*Office of Strategic Capital
*Export - Import Bank
*Department of War
*Treasury Department
These five departments share a consistent focus: rapidly stockpiling strategic mineral reserves needed by the U.S. Hence, the U.S. government took equity stakes in rare earth miner MP Materials (US.MP) and funded mineral trader Glencore to stockpile minerals. Of course, recent moves to take control of Greenland are also included, with the purpose not national military security but the underground mineral resources. In short, the U.S. is urgently catching up on resource stockpiling neglected over the past decades.
Why was it neglected? Stockpiling ties up capital, which Wall Street and American businesses pursuing short-term profits dislike, and the U.S. government, due to financial difficulties, had little money for stockpiling. But now, with the crisis at hand, it must pull out all stops to stockpile materials, including aggressive measures like invading Venezuela and forcibly taking Greenland. In short, any country with resources needed by the U.S. will be "occupied"—akin to Japan's "Greater East Asia Co-Prosperity Sphere", now dubbed the "American Empire Exclusive Prosperity Sphere".
It is clear that time is unfavorable to China; each week delayed means China's oil imports remain more expensive.
The U.S. can afford to delay for a year or even several years while gradually rebuilding strategic material reserves. However, if U.S. defense and AI companies lack urgently needed rare earths, they could collapse tomorrow—no need to talk grandly about how America will become great again.
*U.S. urgently sells soybeans to benefit farmers, consolidating midterm election votes*
However, American soybean farmers, a crucial voting base for Trump and the Republican Party, harvest their soybeans from September to November, with the main period being September to October. Last year, the U.S. couldn't sell its soybeans to China, and warehouses were full. This year, if they cannot sell in time and run out of storage space, they will have to let the crops rot in the fields. Trump might tolerate it, but soybean farmers certainly won't.
Therefore, China and the U.S. have taken swift action within 60 days. Within the next 60 days, the U.S. will fully prepare its position to make a decisive move by January 10 next year or earlier. During this period, the U.S. government's spending speed will likely be faster than ever before, meaning fiscal deficits and U.S. debt will soar, soar, soar. Economists may furrow their brows and exclaim disaster—increased money supply will cause inflation. Trump will say: "So what? Treasury Secretary Bessent will print enough dollars to cover it." Is that possible? Yes, we'll discuss it later.
It's pointless to speculate on the China-U.S. game over the next 60 days, as under-the-table maneuvers are impossible to predict accurately. We should wait and see what moves emerge before discussing further.
As for the super result that rewrites the global AI industry: China and the U.S. agreed to change Artificial Intelligence to Super Intelligence!!!
While the two men, Xi and Trump, appear friendly on the surface but kick each other under the table, wouldn't the two leading ladies also engage in a showdown? The White House hostess, already a tall model, wore 8- to 9-inch high heels—why? Just to tower over the Chinese female guest by a head, perfectly aligning with MAGA. The Chinese female guest wore full Chinese red, matching her husband's Zhongshan suit, forming a national team ensemble.
Diplomacy has no trivial matters; how could clothing coordination at diplomatic occasions not be a big deal!!!
Having finished discussing the political aspects of the Xi-Trump summit, it's time to discuss the economic aspect—the stock market.
Starting today (28th), the last three trading days before the National Day holiday for A-shares may gradually shift from a "pre-holiday risk-aversion" mindset to a "post-holiday positioning" mindset, making the market somewhat more optimistic than now. This pattern is actually supported by historical market trends. According to Wind data backtesting over the nine years from 2017 to 2025, even excluding 2024 data (to avoid excessively inflating the average), the Wind All-A Index still shows a generally bullish structure of "declining first, then rising" in the last three pre-holiday days.
Specifically: The third-to-last day is the "most dangerous" day: excluding 2024 policy interference, only 2 out of 8 years saw gains (25%), with an average decline of 0.68% and a median of -0.48%. This is the day when pre-holiday risk-aversion sentiment is most concentrated and volume contraction is most extreme, with funds collectively reducing positions. The last two days clearly turn bullish: the probability of gains rises to 62%, and the average return shifts from negative to positive. This does not contradict "low volume"—under low-volume conditions, after selling pressure wanes, a small amount of buying (positioning for post-holiday gains and pre-holiday stability) can push the index to close slightly higher. "Closing red on the last day" is a relatively stable calendar feature: in 9 years, the last day rose 6 times (67%), still 5 out of 8 (62%) after excluding 2024, with an average gain of +0.23%. The market tends to close the last trading day before a long holiday with a positive finish.
According to Gann theory and werewolf legends, dramatic changes occur on full moon nights. The Mid-Autumn Festival has just passed. Will the market shift tone?
﹏﹏﹏﹏﹏﹏﹏﹏﹏﹏
*Details of the "Busan Agreement" extension*
The United States and China announced in September 2026 that they would extend the trade ceasefire period of their "Busan Agreement" by two months to January 10.
*I. Background and Latest Developments*
*Extended deadline: U.S. Treasury Secretary Bessent (Scott Bessent) stated that after talks in Washington, the U.S. and China agreed to extend the trade ceasefire from the original November 10 to January 10.
*Origin of the agreement: The Busan Agreement was a truce consensus reached between U.S. President Trump (Donald Trump) and Chinese leader Xi Jinping during their meeting in Busan, South Korea in October 2025, regarding the trade war.
*Seeking a major deal: U.S. officials indicated that extending the deadline gives both sides more time to discuss whether a larger-scale comprehensive trade agreement can be reached.
*II. Core Content of the Agreement*
*Tariff adjustments: Both sides previously agreed to reduce some of the tariffs imposed on each other, and the U.S. also extended certain tariff exemptions.
*Export controls: Both sides have suspended export controls on rare earths and high-tech products for one year.
*Agricultural purchases: China committed to resuming purchases of U.S. soybeans and other agricultural products. {Senior Investor, Shek King-chuen}
(Investing involves risks, and each investor's risk tolerance varies; independent thinking is essential. The author may trade based on market conditions.)
*Articles published in "Economic Times", signed and/or unsigned, represent the authors' personal opinions and do not reflect the stance of "Economic Times". "Economic Times" serves as a platform for free expression. (zz)
1. The world watched a comedy titled "Frenemies",
2. There is a result that appears to be no result,
3. There is a super result that rewrites the global AI industry.
"Frenemies" is a comedy that premiered in the United States in January 2012, translated into Chinese as "Battle of Friendship", telling the story of three teenage pairs who turn from friends to enemies and back to friends again during a fashion competition. As it is a comedy, it ends with a happy ending.
Recently online, many people have seen cartoon depictions of the Xi-Trump summit.
The result that appears to be no result is the extension of the expiry date of the "Busan Agreement" reached between Chinese President Xi Jinping and U.S. President Trump during their meeting in Busan, South Korea in October 2025, from November 10, 2026 to January 10, 2027. In business operations, this is called deferring to the next meeting. In imperial terms, it means adjourning without issues. What has been deferred? See column one.
With the Busan Agreement extended to January 10, 2027, two future summits must be completed by December 31, 2026. What does this mean?
It means two summits will be held within the next 60 days, leaving Chinese and American diplomatic staff with no time to sleep. Besides the diplomatic staff, many others will also lose sleep.
Recall, what happened on January 3, 2026?
The United States arrested Venezuela's legitimate president Maduro and instead "appointed" a puppet president, seizing Venezuela's oil production and export rights.
On February 28, it attacked Iran, cutting off oil exports through the Strait of Hormuz until now.
80% of Venezuela's oil output is exported to China (about 400,000 barrels/day), and 90% of Iran's oil is exported to China (accounting for 13% of China's oil imports).
*The U.S. attempts to cut off China's oil supply but is countered by rare earth restrictions*
Within the first quarter of 2026, the U.S. cut off China's main affordable oil sources. China could only turn to Saudi Arabia and Iraq for procurement, but affordability was lost. The only remaining affordable oil source is Russia, which became the largest supplier in 2025, accounting for 17.5% of China's imports.
How did China respond? With less affordable oil from Venezuela and Iran, China bought more expensive oil and still purchased significant amounts of smuggled oil.
China's counterattack was to restrict rare earth exports.
How did the U.S. respond? By establishing five new/cooperative departments:
*Economic Defence Unit
*Office of Strategic Capital
*Export - Import Bank
*Department of War
*Treasury Department
These five departments share a consistent focus: rapidly stockpiling strategic mineral reserves needed by the U.S. Hence, the U.S. government took equity stakes in rare earth miner MP Materials (US.MP) and funded mineral trader Glencore to stockpile minerals. Of course, recent moves to take control of Greenland are also included, with the purpose not national military security but the underground mineral resources. In short, the U.S. is urgently catching up on resource stockpiling neglected over the past decades.
Why was it neglected? Stockpiling ties up capital, which Wall Street and American businesses pursuing short-term profits dislike, and the U.S. government, due to financial difficulties, had little money for stockpiling. But now, with the crisis at hand, it must pull out all stops to stockpile materials, including aggressive measures like invading Venezuela and forcibly taking Greenland. In short, any country with resources needed by the U.S. will be "occupied"—akin to Japan's "Greater East Asia Co-Prosperity Sphere", now dubbed the "American Empire Exclusive Prosperity Sphere".
It is clear that time is unfavorable to China; each week delayed means China's oil imports remain more expensive.
The U.S. can afford to delay for a year or even several years while gradually rebuilding strategic material reserves. However, if U.S. defense and AI companies lack urgently needed rare earths, they could collapse tomorrow—no need to talk grandly about how America will become great again.
*U.S. urgently sells soybeans to benefit farmers, consolidating midterm election votes*
However, American soybean farmers, a crucial voting base for Trump and the Republican Party, harvest their soybeans from September to November, with the main period being September to October. Last year, the U.S. couldn't sell its soybeans to China, and warehouses were full. This year, if they cannot sell in time and run out of storage space, they will have to let the crops rot in the fields. Trump might tolerate it, but soybean farmers certainly won't.
Therefore, China and the U.S. have taken swift action within 60 days. Within the next 60 days, the U.S. will fully prepare its position to make a decisive move by January 10 next year or earlier. During this period, the U.S. government's spending speed will likely be faster than ever before, meaning fiscal deficits and U.S. debt will soar, soar, soar. Economists may furrow their brows and exclaim disaster—increased money supply will cause inflation. Trump will say: "So what? Treasury Secretary Bessent will print enough dollars to cover it." Is that possible? Yes, we'll discuss it later.
It's pointless to speculate on the China-U.S. game over the next 60 days, as under-the-table maneuvers are impossible to predict accurately. We should wait and see what moves emerge before discussing further.
As for the super result that rewrites the global AI industry: China and the U.S. agreed to change Artificial Intelligence to Super Intelligence!!!
While the two men, Xi and Trump, appear friendly on the surface but kick each other under the table, wouldn't the two leading ladies also engage in a showdown? The White House hostess, already a tall model, wore 8- to 9-inch high heels—why? Just to tower over the Chinese female guest by a head, perfectly aligning with MAGA. The Chinese female guest wore full Chinese red, matching her husband's Zhongshan suit, forming a national team ensemble.
Diplomacy has no trivial matters; how could clothing coordination at diplomatic occasions not be a big deal!!!
Having finished discussing the political aspects of the Xi-Trump summit, it's time to discuss the economic aspect—the stock market.
Starting today (28th), the last three trading days before the National Day holiday for A-shares may gradually shift from a "pre-holiday risk-aversion" mindset to a "post-holiday positioning" mindset, making the market somewhat more optimistic than now. This pattern is actually supported by historical market trends. According to Wind data backtesting over the nine years from 2017 to 2025, even excluding 2024 data (to avoid excessively inflating the average), the Wind All-A Index still shows a generally bullish structure of "declining first, then rising" in the last three pre-holiday days.
Specifically: The third-to-last day is the "most dangerous" day: excluding 2024 policy interference, only 2 out of 8 years saw gains (25%), with an average decline of 0.68% and a median of -0.48%. This is the day when pre-holiday risk-aversion sentiment is most concentrated and volume contraction is most extreme, with funds collectively reducing positions. The last two days clearly turn bullish: the probability of gains rises to 62%, and the average return shifts from negative to positive. This does not contradict "low volume"—under low-volume conditions, after selling pressure wanes, a small amount of buying (positioning for post-holiday gains and pre-holiday stability) can push the index to close slightly higher. "Closing red on the last day" is a relatively stable calendar feature: in 9 years, the last day rose 6 times (67%), still 5 out of 8 (62%) after excluding 2024, with an average gain of +0.23%. The market tends to close the last trading day before a long holiday with a positive finish.
According to Gann theory and werewolf legends, dramatic changes occur on full moon nights. The Mid-Autumn Festival has just passed. Will the market shift tone?
﹏﹏﹏﹏﹏﹏﹏﹏﹏﹏
*Details of the "Busan Agreement" extension*
The United States and China announced in September 2026 that they would extend the trade ceasefire period of their "Busan Agreement" by two months to January 10.
*I. Background and Latest Developments*
*Extended deadline: U.S. Treasury Secretary Bessent (Scott Bessent) stated that after talks in Washington, the U.S. and China agreed to extend the trade ceasefire from the original November 10 to January 10.
*Origin of the agreement: The Busan Agreement was a truce consensus reached between U.S. President Trump (Donald Trump) and Chinese leader Xi Jinping during their meeting in Busan, South Korea in October 2025, regarding the trade war.
*Seeking a major deal: U.S. officials indicated that extending the deadline gives both sides more time to discuss whether a larger-scale comprehensive trade agreement can be reached.
*II. Core Content of the Agreement*
*Tariff adjustments: Both sides previously agreed to reduce some of the tariffs imposed on each other, and the U.S. also extended certain tariff exemptions.
*Export controls: Both sides have suspended export controls on rare earths and high-tech products for one year.
*Agricultural purchases: China committed to resuming purchases of U.S. soybeans and other agricultural products. {Senior Investor, Shek King-chuen}
(Investing involves risks, and each investor's risk tolerance varies; independent thinking is essential. The author may trade based on market conditions.)
*Articles published in "Economic Times", signed and/or unsigned, represent the authors' personal opinions and do not reflect the stance of "Economic Times". "Economic Times" serves as a platform for free expression. (zz)
