Reason #1: Share price momentum shows recovery in Chinese stock indices
Looking at the performance of the major indices in America, Asia, and Europe, it is clear that the last one month has been quite bloody, with most major indices in the red.
The two major indices that stand out are the Hang Seng Index and the CSI 300 Index which are up 1.7% and 5.7% respectively, much higher than the three major US indices, the Dow Jones Industrial Average, S&P 500 and Nasdaq, which have all declined around 5% in the last one month.
Other risk assets such as cryptocurrencies have also fallen significantly with Bitcoin down nearly 40% to around 18k and Ethereum down more than 50% to around 900 at the lowest this year.
All bear markets come to an end eventually, with China having been in a downtrend since February 2021, many Chinese stocks now have attractive valuations with positive growth outlook after underperforming in last quarters....