China stocks see best week since 2008 on stimulus impact as most Asia markets rise

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Chinese markets clocked their best week in almost 16 years as the mainland’s CSI 300 rallied 15.7% this week, buoyed by several economic stimulus measures by the central bank.

The last time the index saw a bigger weekly gain was the week ending Nov. 14, 2008. Hong Kong’s Hang Seng index recorded a weekly gain of 12.75%, making it the index’s best week since February 1998, according to FactSet data. On Friday, the CSI 300 climbed 4.47% to close at 3,703.68, its highest level in about a year, while the HSI rose 3.32% and closed at 20,586.94, its highest since February 2023. The rally comes as the People’s Bank of China cut its 7-day reverse repurchase rate to 1.

Other Asia-Pacific markets also mostly rose Friday, with investors also assessing September inflation numbers from Japan’s capital city of Tokyo, which is widely considered a leading indicator of nationwide trends. Tokyo’s headline inflation rate eased to 2.2%, down from August’s 2.6%. The core inflation rate — which strips out prices of fresh food — in the capital city came in at 2%, in line with expectations from economists polled by Reuters and down from 2.4% in August.

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