ANALYSIS-Chinas slow-motion stock rally starts to win investor trust
By Samuel Shen, Jiaxing Li and Rae Wee
SINGORE/SHANGHAI, – Fund managers are picking Chinese industrial stocks and holding volatile tech shares, betting a two-year-old equities rally can withstand an economic rough patch, as valuations and steady returns lure foreign investors back. China’s blue-chip index CSI300 has matched the S&P 500 with a roughly 16% year-to-date gain, while Hong Kong’s Hang Seng – up about 30% – is on course for its most substantial annual rise since 2017.
The mood is far from the stimulus-triggered euphoria of a year ago, though the ride is becoming bumpier – especially as pressure on developer China Vanke reminds market participants that a prolonged property downturn is far from over.
But there seems to be little…
