Global investors have snapped up a record $21bn worth of Chinese equities this year, as robust economic data spurs traders to make larger bets that the reopening rally has further to run.
Foreign buying of Shanghai- and Shenzhen-listed shares through Hong Kong’s Stock Connect programme has rocketed to Rmb141bn ($21bn) so far in 2023 — more than double the previous record for the same period in 2021. The Connect scheme, launched in 2014, allows investors with a presence in Hong Kong to access stock markets on the mainland.
Alongside a sharp rise in US equities, Chinese stocks have posted substantial gains since the rally began last year. The country’s benchmark CSI 300 index of its biggest companies has risen more than 13 per cent since the end of October.