China stocks edge up

On Tuesday, Chinese stocks saw a modest increase, aligning with regional markets ahead of anticipated comments from Federal Reserve officials later in the day. Global investors are keenly watching for insights from various Federal Reserve speakers regarding the future trajectory of the U.S. central bank’s interest rate policies, following last week’s decision to maintain the current rates.

Recent data indicated that China’s industrial output for May did not meet expectations, with the property sector remaining weak. This underperformance is adding pressure on Beijing to introduce policy measures to support economic growth. However, retail sales surpassed forecasts, bolstered by a holiday boost. According to analysts at Gavekal Dragonomics, China’s economic growth is unlikely to see substantial improvement in the coming months. Although the situation is not weak enough to prompt immediate government intervention, market participants are once again left waiting for additional policy support.

At the close of the trading day, the Shanghai Composite index rose by 0.48% to 3,030.25. The blue-chip CSI300 index saw a 0.27% increase. Within this index, the financial sector sub-index was up by 0.32%, while the consumer staples sector fell by 1.33%, the real estate index dropped by 1.23%, and the healthcare sub-index decreased by 0.98%.

In contrast, the Hang Seng index in Hong Kong fell by 20.57 points, or 0.11%, ending at 17,915.55. The Hang Seng China Enterprises index declined by 0.08% to 6,368.1. Among the sub-indices of the Hang Seng, the energy shares rose by 0.3%, the IT sector dipped by 0.66%, the financial sector saw a 0.37% increase, and the property sector dropped by 0.98%.

The smaller Shenzhen index ended the day up by 0.71%, and the start-up board ChiNext Composite index increased by 0.286%. Regionally, MSCI’s Asia ex-Japan stock index improved by 0.61%, while Japan’s Nikkei index closed up by 1%.

Fidelity China Special Situations PLC (LON:FCSS), the UK’s largest China Investment Trust, capitalises on Fidelity’s extensive, locally-based analyst team to find attractive opportunities in a market too big to ignore.

Click to view all articles for the EPIC:
Or click to view the full company profile:
Facebook
X
LinkedIn
Fidelity China Special Situations

More articles like this

Fidelity China Special Situations

China’s economic stimulus sparks Asian stock surge

China’s stock market experienced its strongest week since 2008, driving Asian shares to their highest level in two and a half years. This surge was largely attributed to Beijing’s launch of a substantial stimulus package aimed

Fidelity China Special Situations

China’s growing influence in global investment and cooperation

China’s efforts to attract and utilise foreign capital are strengthening, leading to new developments in two-way investment. Amid global challenges and declining cross-border investment, the country has been actively promoting its attractiveness in opening up and

Fidelity China Special Situations

Optimism grows for China’s market recovery

Sumitomo Mitsui DS Asset Management recently expressed confidence that China has passed its most challenging period, despite ongoing concerns in the property sector. The firm believes that Chinese equities now present an attractive investment opportunity, given

Fidelity China Special Situations

Positive developments in Chinese markets as stimulus hopes rise

Speculation around potential new economic policies from Beijing gained momentum on Monday, sparking optimism in the Chinese markets. Reports from China Daily highlighted insights from three economists affiliated with government-backed think tanks, who urged Beijing to

Fidelity China Special Situations

China to enhance reform efforts with new focus

China is set to implement targeted strategies to increase the impact of its ongoing reform initiatives, aiming for significant progress in the future, according to a State Council official. During its third plenary session from July

Fidelity China Special Situations

China stocks see modest gains amid robust import growth

China stocks experienced a modest rise on Wednesday, driven by robust import growth according to the country’s trade data, although gains were tempered by weaker-than-expected export figures. Hong Kong shares also saw an increase. In July,

Fidelity China Special Situations

China’s Politburo endorses long-term economic strategy

China’s Politburo has endorsed the Communist Party’s long-term economic strategy, emphasising increased consumer spending and the elimination of unproductive companies to foster a “survival of the fittest” environment. Following a meeting with the party’s top 24

Fidelity China Special Situations

Investors renew interest in China amid policy shifts

China has faced criticism from investors in recent years as political volatility caused share prices to plummet. Policies perceived as hostile to business under the government’s Common Prosperity strategy led to the MSCI China index dropping

Fidelity China Special Situations

Investors bet on more stimulus as China’s economy slow

China stocks saw a slight increase on Monday, as investors anticipated more stimulus measures following the unexpected economic slowdown in the second quarter. This downturn has been attributed to a prolonged property slump and job market

Fidelity China Special Situations

China stocks surge following new short-selling curbs

On Thursday, China stocks rebounded after the securities regulator introduced additional restrictions on short-selling to enhance market sentiment. Hong Kong stocks also experienced a significant increase. The China Securities Regulatory Commission announced on Wednesday that securities

Fidelity China Special Situations

Abundant opportunities in China’s stock market

China’s economic growth outlook remains optimistic, with favorable current valuations for Chinese equities, as highlighted by investment management organization Invesco China. The economy’s recovery in the second quarter has set a positive tone, with expectations for

Fidelity China Special Situations

China stocks see notable gains amid manufacturing surge

China’s stock market experienced a notable rise on Monday following a private sector survey revealing that the country’s manufacturing activity expanded at its fastest rate in over three years. Meanwhile, the Hong Kong market remained closed

Fidelity China Special Situations

Deutsche Bank’s optimistic outlook on China’s market

Despite ongoing concerns about geopolitical risks, particularly those involving US-China relations amidst an election year in the US, Deutsche Bank Private Bank maintains a positive outlook on the Chinese market. This optimism spans tactical, medium, and

Fidelity International

Fidelity China Special Situations May Factsheet, China equities rally

Fidelity China Special Situations (LON:FCSS) has announced its monthly summary for May 2024. Portfolio Manager Commentary Chinese equities rallied in the recent months, recouping some of previous losses. Investor sentiment has turned relatively optimistic amidst better-than-expected GDP