“The optimism right now is basically a removal of certain types of uncertainties that have been lingering … but the outlook is really mixed,” said Peiqian Liu, China economist at NatWest Markets in Singapore.
Hedge fund manager Lei Ming said the re-opening rumour is just the trigger for a rebound in an oversold market.“The main reason for the market jump is that selling pressure had been exhausted after the market fell so much.” Bloomberg News also reported on Friday, citing unnamed people familiar with the matter, that China was working towards relaxing rules that penalise airlines for carrying COVID-positive passengers.
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