China stocks rebounding with endorsements from market professionals, potential for further upside

From Nasdaq: 2024-06-04 09:45:00

China stocks have started to rebound after a period of underperformance, with endorsements from market professionals. The KraneShares Bosera MSCI China A 50 Connect Index ETF (KBA) has returned 5.5% in the past 90 days, showing momentum in previously struggling equities.

KBA and China stocks could benefit from catching up to markets like the U.S., India, and Japan. JPMorgan is optimistic about China equities, citing improving EPS growth and market reforms. New CSRC Chairman Wu Qing’s actions may also have a positive long-term impact on Chinese companies, potentially benefiting KBA.

Emerging markets fund manager Mark Mobius has turned bullish on China stocks, suggesting a potential bottom and recovery. He believes government measures to support the real estate market have helped lead to this positive turnaround. This bullish sentiment could support further upside in the Chinese market.



Read more at Nasdaq: Some Pros Are Backing China Stocks