President Donald Trump announced a "total reset" in US-China ties after both countries agreed to lower tariffs on each other's products for 90 days. He stated that he intends to meet with Chinese President Xi Jinping shortly and does not believe tariffs will return to their previous levels, according to BBC.

The agreement is a significant step toward lowering tensions in the continuing trade war. The United States will reduce duties on Chinese imports from 145 percent to 30 percent, while China will reduce levies on American goods from 125 percent to 10 percent.

Analysts believe the reduction are larger than projected, however 30 percent remains a high percentage. Following the announcement, US markets grew and rebounded to earlier this year's levels, indicating high investor confidence, BBC reported.