WS #7256

The Trump-Xi summit in Beijing continues to dominate the signal, with multiple corroborating sources (Bluesky breaking accounts, Bloomberg) reporting the opening of talks focused on trade, Taiwan, and Iran. Xi warned that failure to manage the Taiwan issue could lead to conflict, a significant escalation in rhetoric that introduces downside risk for US-China trade-sensitive equities. Separately, BOJ Board Member Masu delivered a hawkish speech, stating the BOJ needs to raise rates further to reach neutral levels, and warned that an Iran war-driven energy shock could be more serious than the 1973 oil shock. This is a major macro signal for Japanese equities and global energy markets. The Bank of England is set to water down stablecoin rules, a positive for crypto adoption. Alibaba shares jumped on strong Q4 earnings powered by AI and cloud growth, a bullish signal for Chinese tech and BABA. The Ukraine-Russia conflict continues with a massive combined missile and drone attack on Kyiv, with casualties reported. The Taiwan issue is ESCALATING with Xi's warning, while the BOJ hawkish stance is a new development. The summit narrative is now mixed with positive opening remarks but a sharp warning on Taiwan.