China stocks set for US$236 billion influx from state-owned investors: UBS

China stocks set for US$236 billion influx from state-owned investors: UBS

China’s plan to draw long-term capital into its stock market, as a stabilising measure amid escalating tensions with the US, could drive net inflows from insurers, mutual funds and social-security funds to 1.7 trillion yuan (US$236.2 billion) this year, according to UBS. Insurance funds’ allocations to Chinese equities could rise steadily amid falling bond yields,…

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Bloomberg

Morgan Stanley, Goldman Turn More Cautious on China Stocks

(Bloomberg) — Wall Street brokerages have turned more cautious on Chinese stocks as persistent deflationary pressures and geopolitical tensions cloud the outlook for earnings in the world’s second-largest equity market. Most Read from Bloomberg Morgan Stanley strategists reduced Chinese equities to a slight underweight within the region, while Goldman Sachs Group Inc. trimmed its index…

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