All eyes on China’s unstoppable stocks after US$460 billion rally

  • 📰 staronline
  • ⏱ Reading Time:
  • 51 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 24%
  • Publisher: 75%

Canada News News

Canada Canada Latest News,Canada Canada Headlines

CHINA's equity market is firmly in the spotlight after an almost unprecedented rally that helped lift global stocks to a one-month high.

The speed of the past week’s gains in China is in many ways unseen since the stock bubble that burst five years ago. Monday’s surge alone added more than $460 billion to Chinese stock values, behind just one day in July 2015 as the biggest increase in shareholder wealth since the global financial crisis.

China’s state media struck a more measured tone on Tuesday, after earlier publishing commentaries that highlighted the case for buying shares. Two newspapers urged investors to be rational: the Securities Times -- one of China’s most widely circulated financial publications -- said investors should be mindful of potential risks and not use the market as way to make a fortune overnight.

"Regulators wouldn’t want to see rapid gains in the market either. But there remain plenty of opportunities, and investors will continue to rotate into some laggards so the uptrend is still intact.” As China’s tight capital controls limit the investment options for the country’s savers, this year’s low interest rates and the first losses ever for some popular wealth-management products are driving retail investors to stocks. But some analysts, as well as mainland media, say the country’s economic recovery and the government’s handling of the coronavirus outbreak have helped underpin the rally.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
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:

 /  🏆 4. in CA

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

China rally triggers gains in European cyclical stocks | Malay MailFRANKFURT, July 6 — European shares jumped in early trading today, with a rally in China's markets setting an upbeat tone as investors banked on the world's second biggest economy to lead a recovery from the coronavirus crisis. The pan-European STOXX 600 rose 1.7 per cent by 0714 GMT, with stocks...
Source: malaymail - 🏆 1. / 86 Read more »

US stocks open stronger, continuing rally | Malay MailNEW YORK, July 6 — Wall Street opened higher after the long holiday weekend today, extending last week’s rally that was fuelled by positive economic signs despite the coronavirus pandemic. About 15 minutes into the trading session, the Dow Jones Industrial Average gained 1.4 per cent to...
Source: malaymail - 🏆 1. / 86 Read more »

Asian stocks set to follow US higher on China hopes, upbeat data | Malay MailNEW YORK, July 7 ― Asian markets looked set to rise today as investors weighed growing expectations of an economic rebound in China and a resurgent US services industry, brushing off worries about a spike in US coronavirus cases. Australian S&P/ASX 200 futures climbed 0.52 per cent, while...
Source: malaymail - 🏆 1. / 86 Read more »