In Asia for the first time this term, Donald Trump is expected to work on investment deals and peace efforts before meeting face-to-face with Chinese President Xi Jinping to try to deescalate a trade war.

(Reuters) -European shares hit a fresh intraday record high on Monday, building on last week's gains, as signs of easing trade tensions between the United States and China boosted risk appetite. The continent-wide STOXX 600 index edged up 0.1% to 576.37 points, as of 0808 GMT, after closing at a record high on Friday.

U. President Donald Trump said on Monday he hoped to add a trade deal with China to a slew of pacts he has already struck during a visit to Asia this week, with a royal welcome in Tokyo next on his agenda.

Trade tensions between the U.S. and China have “directly affected” delivery schedules for the C919, said Dan Taylor, head of consulting at aviation consultancy IBA. For one, output plans were disrupted when the U.S. suspended export licenses for the jet’s LEAP-1C engines around May, resuming them in July, he said.

Treasury Secretary Scott Bessent offered rough outlines of an agreement that include China easing rare earth export restrictions and buying “significant” amounts of U.S. soybeans in exchange for President Donald Trump removing his threat of adding 100% tariffs on China.

Top negotiators for the U.S. and China expressed optimism Sunday that a new trade deal is in reach, ahead of a meeting later this week between President Donald Trump and China’s President Xi Jinping.

A botched spying case prompted accusations that the British government was soft on China, highlighting tensions between economic and national security interests.

Treasury Secretary Scott Bessent hailed a “very successful framework” for this week’s Trump-Xi meeting, while Beijing said the two sides reached a preliminary consensus on key issues.