Mainland Chinese equities broke a three-day losing streak on Monday, nudging higher as market sentiment stabilised and policymakers reiterated commitments to openness. With investors weighing geopolitical headwinds and potential policy relief, selective strength across sectors hinted at renewed confidence.
The Shanghai Composite rose 0.15% to 3,370 and the Shenzhen Component ticked up 0.07% to 10,695, reversing early declines. Market caution lingered ahead of the 2 April deadline for the US to implement reciprocal tariffs, but recent remarks from President Trump signalled room for negotiation. Investors took note of softer rhetoric and reports indicating less confrontational measures, offering a breather from trade-driven volatility.
Confidence was also buoyed by Chinese Premier Li Qiang’s address at the China Development Forum, where he reaffirmed China’s commitment to greater market openness in response to growing global uncertainties. The forum, attended by US Senator Steve Daines and Apple CEO Tim Cook, underscored China’s continued engagement with foreign business leaders even as broader tensions persist.
Standout gainers for the session included Wolong Electric, which surged 10%, Victory Giant up 5.8%, Beijing Highlander climbing 6.1%, Zijin Mining advancing 2.7%, and Eoptolink Technology rising 4.6%, reflecting optimism in key industrial and tech names.
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.
