The stock version doubles in China, where the technology race restores global investors

Written by Scott Murdoch

Sydney (Reuters)-Global investors are increasingly restoring stock markets on the main mainland of China after two years of sitting on the margin, which bankers said will help to push renewed activity in a market where the shares were doubled in January to March for a year.

Bankers and advisers have said that reducing government audits of technology majors and the emergence of the developer of the AI ​​is a big tie enough even for investors abroad with caution of the impact of the customs tariff for the Chinese import of the American.

Lseg data showed that the total shares version of Chinese companies in the first quarter amounted to $ 16.8 billion, and Lseg data showed 119 % more than a year.

“Investors have changed. Among the many beliefs, China was not investigative, many now believe this is a recovery process,” said James Wang, head of the capital’s market in Asia and Japan in Gaban, Goldman Sachs.

“Knowing the risks remains, but it has turned into searching for opportunities. This is clear from the long player, whose existence grows stronger and stronger.”

At Hub Hong Kong, the Lenchmark Hang Seng index increased by 21 % this year, making it the best performance among their international peers. On the basis of 12 months, the index is traded at a rate of 12 months from the price to the profits from 10.5X

The P/E MSCI China Index is 12 months in 11.7 times against MSCI US at 20.3 and S&P500 at 20.5. Indian markets on average 18 to 19.99.

“The second largest economy in the world provides 40 % less global investor assessments than other markets,” Wang said.

“The various small policies by the Chinese government and Dibsic have strengthened the VIA, making the evaluation gap more clear and providing negative support to investors.”

Technology shift

Investors’ drawing is a transformation in the dynamics in the technology sector. The summit led by President Xi Jinping with senior technology leaders last month was a sign that the strict government audit in the sector that started in 2020 was mitigating.

In January, Dibsic renewed global financial markets when it announced the products of artificial intelligence at the cost of their main competitors. The government has since indicated its willingness to support private institutions, especially in the technology sector.

“The appearance of Deepseek has led to a fundamental shift in the way global investors in China and the Chinese government are looking for artificial intelligence and quantum computing,” said Harish Raman, ECM, head of the ECM implementation and solutions.