US President Donald Trump confirmed on Tuesday that the US and China were nearing completion on the phase one trade deal following phone discussions between high level officials of the trade teams from both nations. Negotiations on the interim agreement were in the final stages, and while discussions were progressing, Trump also expressed caution regarding the Hong Kong situation.

While addressing the media at the White House, Trump stated, “We’re in the final throes of a very important deal, I guess you could say one of the most important deals in trade ever. It’s going very well but at the same time we want to see it go well in Hong Kong.”

Pro-democracy parties garnered nearly 90% of the district council seats in the most recent elections at Hong Kong. Trump also expressed hope that Chinese President Xi Jinping will ensure that the elections would lead to a positive outcome.

Markets are concerned that the phase one trade deal could get extended into next year with negotiations still ongoing. However, on Tuesday, Senate Finance Committee Chairman Chuck Grassley also shared his hopes for the deal to be finalized before the end of this year.