Chinese equities have surged to their best week since 2008 after Beijing launched an economic stimulus package including a $114bn war chest to boost the stock market.
The CSI 300 index of Shanghai- and Shenzhen-listed companies is up 15.7 per cent for the week in its best performance since November 2008, when China announced a similar stimulus package in response to the global financial crisis.
The rally, which has also helped buoy European markets and industrial metals, comes as China’s leadership rushes to support the country’s capital markets, stabilise a property sector crisis and boost domestic consumption in order to meet its economic growth target of 5 per cent for the year.
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