From the South China Morning Post, August 19:
Shanghai Composite Index rises 0.3 per cent as it hovers at highest close since August 19, 2015
Mainland Chinese stocks were steady on Tuesday after a key benchmark rose to a 10-year high, as traders expect the rally fuelled by a rotation from fixed-income investments to continue.
The Shanghai Composite Index advanced 0.3 per cent to 3,739.26 at the break, heading for the highest close since August 19, 2015. The CSI 300 Index climbed 0.1 per cent.
In Hong Kong, the Hang Seng Index added 0.2 per cent, while the Hang Seng Tech Index rose 0.1 per cent.
Mainland stocks are in focus as the market reverses years of declines and bucks a slowing economy, with investors rotating out of low-yielding fixed-income products to chase higher returns. A part of the 160 trillion yuan (US$22.3 trillion) household savings built up since the Covid-19 pandemic is expected to shift into stocks due to falling deposit rates and a continuing downturn in property prices, according to analysts.
“We’ve seen long-term capital and individual investors piling into the equity market,” said Li Xuewei, a strategist at HSBC Jintrust Fund Management in Shanghai. “Approaching US rate cuts and abundant overseas liquidity have also boosted risk appetite. China’s excessive household savings may flow into the stock market and fuel further gains.”....
....MUCH MORE
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....On the other hand Chinese large-cap equities are up 17-odd-percent from recent (April) lows and are up ~27%. in the last twelve months. Here's our bogey, the Shanghai - Shenzhen CSI300 index via TradingView:
