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Most Benchmarks Firm, HSCEI Reverses Early '24 Losses

CHINA STOCKS

Most benchmarks firmed on Tuesday, with the CSI 300 +1.2% and the Hang Seng +0.5% at the close.

  • The HSCEI has reversed its early ’24 losses.
  • Discussions remain centred on the need for deeper policy and equity market-specific support, with focus on the upcoming Two Sessions meeting in Beijing.
  • We highlight that the recent change in personnel at the top of the CSRC has altered perceptions and suggests that policymakers are serious about supporting the equity market.
  • Offshore flows were supportive, with mainland seeing CNY12.2bn of net inflows via the HK-China Stock Connect scheme.
  • Profits/guidance from the automaker sector promoted some outperformance for related names.
  • AI-linked names surged on the back of a regulatory push for quicker development and more competitive companies in the sector.
  • Samsonite rallied on the back of source reports suggesting a takeover of the company could be coming.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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