Stock markets in China gained on Friday after US President Donald Trump said trade talks with Beijing were "moving along nicely".
Mr Trump has asked key United States officials to begin drafting potential terms, according to the report. The offshore yuan jumped 0.83 percent to 6.8601.
Mr Xi said he was "very happy" to talk to Mr Trump again and that he puts "great importance [on] good relations with the president", according to Chinese state media.
On Thursday, comments made by Mr Trump appeared to be an attempt to ease tensions.
Washington, Europe and other trading partners say those violate China's market-opening obligations and some American officials worry they might erode US industrial leadership. The Chinese president also said he would like to meet Trump at the G20. "They all want to do it".
The US and China's tit-for-tat tariffs on each other's goods have rumbled on for months as Trump pledges to help create more US manufacturing jobs.
Meeting a group of Republican senators and one congresswoman in Beijing, Li said that over the past four decades of diplomatic ties, the China-U.S. relationship has had its "share of ups and downs".
The two countries already have imposed tariffs on hundreds of billions of dollars of each other's goods and Trump has threatened to slap tariffs on the remainder of China's $500 billion-plus exports to the United States if the disputes can not be resolved. "We talked about many subjects, with a heavy emphasis on Trade", said Trump.
In Beijing, that was seen as an insult to Mr Xi, who sent a personal emissary to Washington for the negotiations, and cemented a view that Mr Trump's real goal was to thwart China's rise.
On Wednesday, US Secretary of State Mike Pompeo said China was probably Washington's biggest long term security challenge and the United States was engaged in a "multi-pronged effort.to convince China to behave like a normal nation on commerce" and respect global law.
Xi said Thursday after speaking with Trump that he hopes China and the United States will be able to promote a steady and healthy relationship, Chinese state media reported.
Trump warned that if China doesn't "treat us fairly, we're not going to treat them fairly" in remarks at an event for American workers at the White House.
President Trump has made very clear to China that they must change their "unfair" trade practices including theft of US intellectual property.
Trump and Xi both expressed optimism about resolving their bitter trade disputes ahead of a high-stakes meeting planned for the two leaders at the end of November in Argentina.