• President Trump announces Chinese President Xi Jinping will visit the White House toward the end of September.
  • The visit signals a potential thaw in trade tensions and could pave the way for new agreements.
  • Markets react positively, with the S&P 500 gaining 0.8% on the news.

President Donald Trump revealed on Thursday that Chinese President Xi Jinping is expected to visit the White House in late September, according to people familiar with the matter. The announcement, made during a press conference, marks a significant diplomatic step amid ongoing trade negotiations between the world's two largest economies.

The visit, which has not yet been officially confirmed by Beijing, would be Xi's first to Washington since 2017. "We're working on a date toward the end of September," Trump said, adding that the two leaders would discuss trade, intellectual property, and North Korea. The White House declined to provide further details, and a spokesperson for the Chinese embassy in Washington did not respond to a request for comment.

Investors welcomed the news, with the Dow Jones Industrial Average climbing nearly 200 points in afternoon trading. 's Asia index also rose, as hopes for a de-escalation in the trade war buoyed sentiment. However, analysts warned that a meeting alone does not guarantee a breakthrough. "We've seen this movie before," said a senior economist at a Washington-based think tank. "The devil will be in the details."

The potential visit comes after months of escalating tariffs and heated rhetoric. In May, trade talks collapsed, and the U.S. raised tariffs on $200 billion of Chinese goods to 25%. Since then, both sides have signaled a willingness to return to the table. Trump delayed a planned tariff increase on Chinese imports in June after a meeting with Xi at the G-20 summit.

China's economy has shown signs of strain from the trade conflict, with GDP growth slowing to 6.2% in the second quarter, its weakest pace in 27 years. Meanwhile, U.S. farmers and manufacturers have been hit by retaliatory tariffs. "A visit would be a positive signal, but we need concrete actions," said a trade lawyer representing U.S. companies.

The meeting could also address other flashpoints, including China's crackdown in Hong Kong and its claims in the South China Sea. Trump has downplayed these issues in the past, focusing instead on trade. "I think we can make a great deal," he said Thursday.

Correction: An earlier version of this article misstated the year of Xi's last White House visit. It was 2017.