Global index provider MSCI's announcement that it will quadruple the weighting of large-cap Chinese shares in its benchmark indexes is likely to drive more money into the still highly regulated mainland market, investors and analysts said.
Chinese shares, which slumped sharply in 2018, have been on a tear this year, rising 14 percent in February alone on factors including optimism over progress in ending the U.S.-China trade war and expectations for the expanded MSCI inclusion. "Overall, the final inclusion plan continues to look as aggressive as its proposal, marking another milestone in China's capital market opening up," Citi equity analyst Jerry Peng said in a note dated Thursday, adding that the U.S. bank expects"strong foreign inflows to China's onshore market."
Gao Ting, head of China strategy at UBS Securities, said in a note Friday that the MSCI changes would likely spur $67 billion in inflows to the A-share market this year alone.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
'Stocks look like dead money': Here's why any US-China trade deal might disappoint Wall StreetInvestors want so much from a US-China trade deal that any agreement will disappoint them, says FTSE Russell's director of global markets research.
Source: BusinessInsider - 🏆 729. / 51 Read more »
China's stocks just hit the big time — $80 billion in Chinese equities could now flow into one of the world's major indexesGlobal index provider MSCI is quadrupling the weighting of Chinese mainland shares in its global benchmarks later this year.
Source: BusinessInsider - 🏆 729. / 51 Read more »
Stocks in Asia set to gain following stronger-than-expected US economic dataShares in Asia were set to see opening gains on Friday after a report overnight showed stronger-than-expected fourth quarter economic growth in the U.S. Wait...you guys told me our economy was failing! How can this beeeeeeeee LOL Wut? 3% was expected, and we fell during the Holiday 4th quarter So I guess the fed was right initially and needs to raise rates. Can’t have it both ways Wall Street. This constant market rally on good news, bad news, any news needs to stop. How has their not been a healthy meaningful pullback for months?
Source: CNBC - 🏆 12. / 72 Read more »
Asian stocks slip as trade optimism retreats, dollar holds gainsAsian stocks slipped on Thursday after cautious comments from U.S. Trade Represe... ok ok
Source: Reuters - 🏆 2. / 97 Read more »
After recent surge, U.S. stocks to make only small gains this year: Reuters pollU.S. stocks will rack up only modest gains this year on top of a surge in recent... They are overpriced. Look out crash ahead. A gain is a gain. Better than loss.
Source: Reuters - 🏆 2. / 97 Read more »