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Run Of Daily Net Outflows Via Stock Connect Extends

CHINA STOCKS

MNI (London) - Plenty of interest evident re: international flows surrounding the Chinese equity markets.

  • The combination of questions surrounding the potency of the Chinese stimulatory measures outlined thus far, continued economic headwinds and the well-documented struggle for several major property developers has resulted in 13 consecutive days of net sales of Chinese mainland equities via the Hong Kong-China Stock Connect schemes.
  • That is the longest run observed since at least ’16, representing a net CNY77.9bn.
  • It is also worth flagging that the Chinese A/H share premium index has moved back to the highest level seen since November (around the time that China dismantled its ZCS policy).
Fig. 1: Daily Net Northbound Flows Via The Hong Kong-China Stock Connect Schemes

Source: MNI - Market News/Bloomberg


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

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