Investors optimistic about China's economic rebound, market conditions favorable

From South China Morning Post: 2024-06-05 22:41:25

Hong Kong stocks rose ahead of trade data revealing more signs of Chinese economic recovery, driven by optimism of potential US rate cuts. Hang Seng Index increased by 1%, with Tech Index rising by 1.5%. Tencent and Alibaba led gains, while food delivery platform Meituan and Trip.com also saw increases.

China’s exports likely grew by 5.7% in May, faster than April’s 1.5% growth, with imports expected to rise by 4.4%. Longfor and Country Garden showed improved sales after Beijing’s stimulus package. Hang Seng Index has gained 2.8% this week, driven by optimistic market conditions and growing US rate cut expectations.

Ray Dalio emphasized the benefits of investing in China despite geopolitical risks, citing the relative affordability of Chinese assets. Other Asian markets also saw gains, with Japan’s Nikkei 225 rising by 1.1%, Australia’s S&P/ASX 200 up by 0.9%, and South Korea’s Kospi increasing by 1%.



Read more at South China Morning Post: Hong Kong stocks rise as investors bet on China’s economic rebound, policy support