Details of the agreement, which would halt the next round of U.S. tariffs on an additional $300 billion of Chinese goods, are being laid out in press releases and will be out as coordinated press releases and not a joint statement, the South China Morning post said citing sources.
Singapore's benchmark <.STI> gained the most in the region, to hit a near two-month closing high. It rose as much as 1% during the day before ending 0.8% higher.
Industrials and financials stocks boosted the rally on the index with DBS Group Holdings Ltd, rising 1.4% and Jardine Matheson Holdings gaining 1.5%.
The city-state has been hit the worst by the damaging effects of the drawn-out Sino-U.S. trade war, especially since negotiations faltered in May. With a high dependency on China, the trade reliant economy would benefit by a trade truce.
The Indonesian benchmark <.JKSE> gained 0.7% with telecom and financial stocks supporting the index.
Telekomunikasi Indonesia and Bank Central Asia Tbk Pt recouped losses from the previous session with a 2.8% and 1.2% rise, respectively.
The Thai index gained as much as 0.8% to a near nine-month high during the session before closing 0.6% higher, buoyed by telecom and energy stocks.
Advanced Info Service PCL and PTT Exploration and Production PCL added 3.9% and 1.5%, respectively.
Philippine stocks <.PSI> rose 0.6% with industrials contributing most of the gains. SM Investments rose 2.6%, while International Container Terminal Service rose 1.7%.
Meanwhile, Vietnam stocks <.VNI> dropped 1.7% to their lowest close since Feb. 12, with utilities and real estate stocks dragging the index.
Petrovietnam Gas JSC slumped 6.4%, while Vingroup JSC dipped 1.7%.
Vietnam has emerged as one of the largest beneficiaries of the trade war between Beijing and Washington, as some businesses are shifting their supply chains away from China in order to avoid tariffs.
(Reporting by Shreya Mariam Job; Editing by Rashmi Aich)
By Shreya Mariam Job
