US President Joe Biden and his Chinese counterpart Xi Jinping arrive Thursday in Lima for an Asia-Pacific summit overshadowed by the prospect of a world embroiled in trade wars under Donald Trump.Biden and Xi are due to hold a bilateral in Peru Saturday — the second and final day of a heads-of-state meeting of the Asia-Pacific Economic Cooperation (APEC) grouping.APEC, created in 1989 with the goal of regional trade liberalization, brings together 21 economies that jointly represent about 60 percent of world GDP and over 40 percent of global commerce.On Thursday, APEC ministers, including US Secretary of State Antony Blinken, held their own meeting behind closed doors in Lima to set the tone for the two-day summit to follow.The APEC program was to focus on trade and investment for what proponents dubbed inclusive growth.But uncertainty over Trump’s next moves following his November 5 election victory now clouds the agenda — as it does for the COP29 climate talks under way in Azerbaijan, and a G20 summit in Rio de Janeiro next week.With the US president-elect having signaled a confrontational approach to Beijing for his second term in the White House, Saturday’s face-to-face between Xi and Biden will be a closely-watched affair.It will likely be the last meeting between the sitting leaders of the world’s largest economies before Biden hands the reins back to Trump, a US administration official said.Biden and Xi will “take stock of efforts to responsibly manage competition,” said the official.- ‘America First’ -The summit will also bring together leaders and senior officials from Japan, South Korea, Canada, Australia and Indonesia, among others.President Vladimir Putin of APEC member Russia will not attend.Trump’s “America First” agenda, with protectionist stances on global commerce, fossil fuel extraction and foreign conflicts, is threatening alliances Biden had built on issues ranging from the wars in Ukraine and the Middle East to climate change and trade.The Republican president-elect has threatened tariffs of up to 60 percent on imports of Chinese goods in an attempt to balance bilateral trade.China is grappling with a prolonged housing crisis and sluggish consumption that can only be made worse by a new trade war.But economists say punitive levies will likely also harm the American economy and affect trade with its neighbors and with Europe.- ‘Criminals and drugs’ -China is an ally of Western pariahs Russia and North Korea, and is building up its own military capacity while ramping up pressure on Taiwan, which it claims as part of its territory.It is also expanding its reach into Latin America through infrastructure and other projects under its Belt and Road Initiative.Xi will on Thursday inaugurate South America’s first Chinese-funded port, in Chancay, north of Lima.Xi, in an article published in El Peruano newspaper, said China was ready to work with Peru to “practice true multilateralism, promoting an egalitarian and orderly multipolar world and a universally beneficial and inclusive economic globalization.”Biden, meanwhile, will on Friday meet Japanese Prime Minister Shigeru Ishiba and South Korean President Yoon Suk Yeol — key US allies in Asia.Before leaving Tokyo for the summit, Ishiba said the talks would seek to “confirm and enhance” trilateral cooperation.He told reporters efforts were being made to secure a meeting with Xi.”There are issues between the two countries. But there are also issues that we must work together on. I would like to have a frank exchange of opinions on these issues,” said Ishiba.About meeting Trump, “nothing concrete has been decided,” the prime minister added.China isn’t the only country in Trump’s economic crosshairs.The incoming US leader has threatened tariffs of 25 percent or more on goods coming from Mexico — another APEC member — unless it stops what he called an “onslaught of criminals and drugs” crossing the border.

US and European stocks rose on Thursday as investors waited for more clues about future interest rate cuts, while worries over Donald Trump’s presidency clouded optimism.Bitcoin was trading above the $90,000 level but below Wednesday’s record of $93,462. Observers are expecting it to soon top $100,000 following pro-crypto pledges from the US president-elect.Investors were looking forward to a speech by US Federal Reserve Chairman Jerome Powell for indications about future interest rate cuts.”Powell will likely face questions about the latest inflation data and the potential effects of protectionist policies under Trump, on the central’s monetary policy in 2025,” said City Index and FOREX.com analyst Fawad Razaqzada.US consumer inflation data released on Wednesday showed that consumer prices rose in line with forecasts, cementing expectations that the Federal Reserve will cut interest rates again next month.But with Trump having vowed to impose across-the-board tariffs that could boost inflation and give the Fed reason to pause cutting interest rates.”As things stand, the market is cautiously pricing in just 50 basis points of easing by mid-2025 –- a marked revision from before the US election” when it expected more cuts, added Razaqzada.”The market, though, has a tendency of making its own mind up, and any dovish Powell remarks might fall on deaf ears.”Meanwhile data released on Thursday showed upticks in wholesale price inflation, which could also give the Fed reason to reevaluate the need to cut rates further.Wall Street’s main indices opened with modest gains.European markets fared better, with updated data confirming the eurozone recorded 0.4 percent growth in the third quarter.Tokyo, Hong Kong and Shanghai all fell on Thursday as concerns over another possible China-US trade war, and Beijing’s economic woes, weighed on Asian markets.The dollar built on advances against its peers on the prospect that Trump’s policies will keep the Fed from cutting interest rates as much as initially expected.The greenback topped 155 yen for the first time since July, putting focus on Japanese authorities who have said they are prepared to support their unit if they considered moves to be one-sided or speculative.The dollar was also at a more than one-year high against the euro.In company news, shares in Disney jumped more than 11 percent after the entertainment giant beat expectations in its latest quarterly earnings.While its net profits dipped, its earnings per share excluding exceptional items beat analyst expectations, as did a six percent increase in sales.Shares in Meta fell 0.7 percent after the EU fined it almost 800 million euros ($840 million) on Thursday for breaching antitrust rules by giving users of its Facebook social network automatic access to classified ads service Facebook Marketplace.Shares in struggling British fashion house Burberry rose around 19 percent on London’s FTSE 250 as the group announced cost-cutting plans after posting a loss. Chinese tech giant Tencent rose more than one percent after an upbeat earnings announcement in which it saw forecast-beating profits in the third quarter.It also said it saw signs of a recovery in the world’s number two economy.Chinese e-commerce giant JD.com also announced a pickup in third-quarter revenue, in a positive sign for the firm as it grapples with lacklustre consumer spending. The firm’s latest results — as well as rival Alibaba’s expected third-quarter filing on Friday — are being closely scrutinised by analysts and investors for signs that recent measures taken by the Chinese government to boost activity are having an impact.- Key figures around 1430 GMT -New York – Dow: UP 0.2 percent at 44,042.31New York – S&P 500: UP 0.1 percent at 5,992.15 New York – Nasdaq Composite: UP 0.2 percent at 19,259.37London – FTSE 100: UP 0.6 percent at 8,080.37Paris – CAC 40: UP 1.4 percent at 7,315.80Frankfurt – DAX: UP 1.5 percent at 19,294.96Tokyo – Nikkei 225: DOWN 0.5 percent at 38,535.70 (close)Hong Kong – Hang Seng Index: DOWN 2.0 percent at 19,435.81 (close)Shanghai – Composite: DOWN 1.7 percent at 3,379.84 (close)Dollar/yen: UP at 155.68 yen from 155.51 yen on WednesdayEuro/dollar: DOWN at $1.0554 from $1.0564Pound/dollar: DOWN at $1.2690 from $1.2710Euro/pound: UP at 83.17 pence from 83.11 penceWest Texas Intermediate: UP 1.3 percent at $69.35 per barrelBrent North Sea Crude: UP 1.3 percent at $73.19 per barrelburs-rl/yad

Stock markets diverged on Thursday as investors digested US inflation data that supported the case for another interest rate cut next month, while worries over Donald Trump’s presidency clouded optimism.Bitcoin was trading above the $90,000 level but below Wednesday’s record of $93,462. Observers are expecting it to soon top $100,000 following pro-crypto pledges from the US president-elect.US inflation data showed that consumer prices rose in line with forecasts, cementing expectations that the Federal Reserve will cut interest rates again next month. “Inflation is moving sideways on a year-on-year basis, but there is nothing in (the) report that would alarm the Fed,” said Bank of America Global Research in a report.”A 25-basis-point cut in December firmly remains our base case.”Still, there are worries about the impact of Trump’s plans to slash taxes, ease regulations and impose huge tariffs on imports — particularly from China — which observers say could reignite inflation.Some players are now scaling back their bets on how many cuts the Fed will make in 2025 in response to that.Tokyo, Hong Kong and Shanghai all fell on Thursday as concerns over another possible China-US trade war, and Beijing’s economic woes, weighed on Asian markets.European markets fared better, ahead of data on the health of the Eurozone’s economy due later in the day and data on the UK economy due on Friday.Shares in struggling British fashion house Burberry rose around 15 percent on London’s FTSE 250 as the group announced cost-cutting plans after posting a loss. The dollar built on advances against its peers on the prospect that Trump’s policies will keep the Fed from cutting interest rates as much as initially expected.The greenback topped 155 yen for the first time since July, putting focus on Japanese authorities who have said they are prepared to support their unit if they considered moves to be one-sided or speculative.The dollar was also at a more than one-year high against the euro.In company news, Chinese tech giant Tencent rose more than one percent after an upbeat earnings announcement in which it saw forecast-beating profits in the third quarter.It also said it saw signs of a recovery in the world’s number two economy.Chinese e-commerce giant JD.com also announced a pickup in third-quarter revenue, in a positive sign for the firm as it grapples with lacklustre consumer spending. The firm’s latest results — as well as rival Alibaba’s expected third-quarter filing on Friday — are being closely scrutinised by analysts and investors for signs that recent measures taken by the Chinese government to boost activity are having an impact.- Key figures around 1100 GMT -London – FTSE 100: UP 0.3 percent at 8,052.13Paris – CAC 40: UP 0.9 percent at 7,284.77Frankfurt – DAX: UP 1.2 percent at 19,220.72Tokyo – Nikkei 225: DOWN 0.5 percent at 38,535.70 (close)Hong Kong – Hang Seng Index: DOWN 2.0 percent at 19,435.81 (close)Shanghai – Composite: DOWN 1.7 percent at 3,379.84 (close)New York – Dow: UP 0.1 percent at 43,958.19 (close) Dollar/yen: UP at 155.71 yen from 155.51 yen on WednesdayEuro/dollar: DOWN at $1.0508 from $1.0564Pound/dollar: DOWN at $1.2636 from $1.2710Euro/pound: UP at 83.19 pence from 83.11 penceWest Texas Intermediate: UP 0.4 percent at $68.70 per barrelBrent North Sea Crude: DOWN 0.4 percent at $72.55 per barrel