The Direxion Daily FTSE China Bear 3x Shares (YANG) closed down 3.2% at $67.45 on January 21, as Chinese markets reacted to geopolitical and economic developments. President Donald Trump's softer-than-expected stance on tariffs, particularly towards China, provided a boost to investor sentiment, leading to gains in Hong Kong-listed growth stocks. The Hang Seng Index rose by 0.91%, and the Hang Seng Tech Index increased by 2.14%, driven by optimism following a phone call between Trump and China's President Xi Jinping. Additionally, Chinese real estate stocks surged, with Country Garden gaining 17.53% in Hong Kong, as the sector received support from local governments. Despite these gains, concerns remain over China's slowing economy, with industrial profits declining for the fourth consecutive month and consumer inflation slowing further in December. The Chinese government has signaled plans for more proactive fiscal stimulus and moderately looser monetary policy to address these economic challenges.