From Time Inc.:

Chinese regulators plan to brief President Xi Jinping on the market this week. Chinese stocks rebounded as reports of upcoming updates to leadership on market conditions and policy initiatives emerged. Stock values have dropped by $7 trillion, despite past policy efforts to mitigate this. Small-cap equities were hit the hardest, but showed a significant jump on Tuesday. The recovery in stock values was supported by a noticeable surge in foreign funds added to mainland shares. Previous attempts to boost the market, as in 2015, have shown limited success, with stocks bottoming out months later. Despite a recent rebound, global equities perform poorly, with the CSI 300 down by over 40% from its 2019 peak. The national financial regulatory administration has held at least a dozen meetings over the past two months to stabilize capital markets. Earlier restrictions on trading have been tightened further this week, with specific hedge funds banned from placing sell orders. Even if the upcoming meeting shows promising outcomes, past rebounds have been short-lived, which lead to persistent doubts about the current state of markets.



Read more: China President Xi Jinping to be briefed on plans to stop $7 trillion stock rout