Chinese stocks post best week since 2008 after stimulus blitz

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Beijing’s pledge to support capital markets and economic growth targets also helps lift European stocks and metals prices

Chinese equities have surged to their best week since 2008 after Beijing launched an economic stimulus package including a $114bn war chest to boost the stock market. The CSI 300 index of Shanghai- and Shenzhen-listed companies is up 15.7 per cent for the week in its best performance since November 2008, when China announced a similar stimulus package in response to the global financial crisis.

But Citi said the past three days were “the busiest period for Citi’s equities sales and trading team in the Asia region, with record client flows” into Hong Kong and mainland Chinese equities. The Shanghai Stock Exchange put out a notice on Friday warning investors of “abnormally” slow transaction speeds as a result of frenzied morning trading, said two people familiar with the situation. “We can’t dismiss this as the same old policy,” said Winnie Wu, equity strategist at Bank of America.

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Chinese stocks on track for best week since 2008 after stimulus blitzRally follows Beijing’s pledge to support capital markets and economic growth targets
Fuente: FT - 🏆 113. / 51 Leer más »