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Andrew Bates, spokesman of former Vice President Joe Biden's campaign, said in a statement that Biden has already committed to participating in the scheduled debates, according to a Reuters report.

And the inquiry the US administration has ordered into China's trade policies, if carried out, could intensify tensions, especially on intellectual property rights.

Andrew Steer, president and CEO of the World Resources Institute, said China is a long way ahead of other countries in terms of the psychology and the belief system of sustainable development.

Analysts said the central bank's accommodative stance also helped boost investor sentiment. The People's Bank of China injected 500 billion yuan of funds on Tuesday to ensure ample liquidity, after a 1.2-trillion-yuan injection on Monday.

And China still has many cards to play. It could, for instance, consider targeting the cross-border service trade in which the US enjoys a huge surplus with China. And US multinationals in China, which have pocketed tremendous profits in the world’s largest consumer market and account for a major part of China’s nominal trade surplus with the US, could also be a target if the Trump administration announces further tariffs targeting Chinese goods.