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J.P.Morgan: Retail Buys The Dip While Institutional Names Sell

CHINA STOCKS

J.P.Morgan note that "it appears that institutional investors, both foreign and domestic, have contributed to the recent sell-off in Chinese equities. Retail investors appear to have behaved in a contrarian fashion by seeing this week's dip in Chinese stocks as a buying opportunity. While retail investors and momentum trades that follow shorter-term momentum signals might provide some near-term relief to Chinese equities, other institutional position and flow indicators look rather problematic for Chinese equities over the medium-term we think."

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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