CNBC Daily Open: The return of panda diplomacy

Giant panda Bao Li chews on bamboo during his public debut at the Smithsonian's National Zoo in Washington, U.S., January 24, 2025. Kevin Lamarque | ReutersHello, this is Hui Jie writing to you from Singapore. Welcome to another edition of CNBC's Daily Open.As the Trump-Xi state dinner winds down, analysts are searching for signs of what the summit actually achieved.The clearest and cuddliest deliverable came in black and white. Chinese President Xi Jinping confirmed that two giant pandas would soon arrive at Zoo Atlanta, reviving one of Beijing's longest-running instruments of soft power.Markets, however, were confronting harder realities.What you need to know today "Americans may not like China, but they will certainly like pandas," said Wu Xinbo, director of the Center for American Studies at Fudan University. DreamWorks' four Kung Fu Panda films, in a sense, illustrate this point. No wonder, then, that Chinese President Xi Jinping arrived at the closely watched summit with President Donald Trump with the promise of two giant pandas to the U.S.The pair are set to become Zoo Atlanta's first pandas since its previous four returned to China in November 2024, when it became the last U.S. zoo to lose its bears.The move is commonly known as "panda diplomacy" and is often seen as a barometer of diplomatic relations. But more pertinent items were on the agenda between the two leaders. Xi had told Trump that there is more opportunity for cooperation than competition on artificial intelligence, amid Washington's restrictions on advanced chips to China. "The two sides can continue AI dialogue, exchange views on risks and benefits, and together guard against the misuse or malicious use of AI," Xi said in Chinese, according to a CNBC translation of the state media readout.He noted AI is important to both the U.S. and China. "Both sides have competition. Cooperation, even more so," he said.Asian markets mixed Over in Asia, markets were mixed as traders grappled with Treasury yields hitting multidecade highs and oil prices falling. The 10-year Treasury yield climbed to 5.225% late Thursday, the highest level since 2007, while the 30-year yield reached 5.502%.Oil fell Friday following a report that U.S. and Iranian negotiators in New York are discussing a phased deal to end the standoff in the Persian Gulf. Japan's Nikkei 225 was 1.06% up, while Australia's and Hong Kong's markets were in negative territory. Markets in mainland China and South Korea are closed for a holiday. A notable mover in Asia was the Japanese arm of Oracle, as the company reported record fiscal first-quarter sales and profits. Shares of Oracle Corp Japan surged more than 7%, in contrast to a more than 3% drop in U.S.-listed Oracle shares overnight, after the company sent a "force majeure" notice tied to its New Mexico data center project.Senate Iran vote fails The Senate on Thursday narrowly voted down a measure demanding an end to the U.S. war with Iran, with the motion failing 49-50 on the resolution.All but four Republicans voted against the measure despite concerns that GOP candidates will face fallout in November's midterm elections from the war's economic costs. One Democrat, Senator John Fetterman of Pennsylvania, was the only Democrat to oppose the measureAn affirmative vote on the measure, known as a War Powers Resolution, would have directed Trump to remove U.S. troops from hostilities in Iran unless Congress explicitly approves the war.And finally...CEO who posted ‘Lake America’ sweatshirt photos is no longer with the companyThe former CEO of U.S.-based credit union Family First is no longer with the company, days after she posted an allegedly AI-edited family photo of her family with "Lake America" sweatshirts.On Wednesday, a statement posted to the company's website revealed that Jane Smith was no longer with Family First "effective immediately," with chief operations officer Jason Acosta serving as interim CEO. It was signed by Maurice Patterson, chairman of the Family First Credit Union board, and Acosta.Smith on Sept. 11 had posted the photo on Facebook with the caption: "Like our sweatshirts? Not sure Canada will. Lol lol"— Lim Hui Jie