MARKET: Chinese stock market on the rise – Investors are seeing the light at the end of the corona tunnel

Chinese stocks were excited about a solid rise on Tuesday, and the Asian market more generally was on the rise.

In the morning, CSI 300 in mainland China rose 0.9 percent during Finnish time and Hang Seng in Hong Kong rose as much as 2.2 percent.

Japan’s Nikkei was up 0.3 percent and Korea’s Kospi was up 0.7 percent.

Investors sighed momentarily at the relief as Chinese authorities said Shanghai was struggling with harsh interest rate cuts. No non-quarantine corona infections have been detected in the city for three days.

Hong Kong, an important financial center, is also reported to be easing its severe interest rate restrictions in the near future, although the epidemic in the city is not over.

Japanese financial giant Nomura commented on Tuesday that the news is good but not yet at a turning point.

“The outlook for the economy and most asset classes in the coming months will depend on what Beijing lines out of its zero tolerance line for the coronary virus,” Nomura estimates.

Shares of technology companies listed mainly in Hong Kong, on the other hand, bounced as investors dreamed as the state’s tight grip eased. Authorities have reported deregulation, and a giant bank, for example JP Morganin analysts made purchase recommendations for several Chinese techno-waste from the beginning of the week.

For example Alibaban, Tencentin and Meituanin shares were up on Tuesday.

Shares of most technology companies in China have been falling since the end of 2020.

Economic figures from China on Monday surprised the bottom line as the country’s industrial output and retail trade contracted from a year ago in April. The state said on Tuesday it would step in and provide support to industry, the service sector and small businesses.

The price of WTI crude oil on the world market was close to its few-week high of $ 111.4 a barrel. In particular, investor expectations of the end of China’s closures this summer have pushed up prices.

The planned oil embargoes against Russia in the European Union, on the other hand, have not progressed despite the negotiations. Hungary has been an active member of oil sanctions and other countries have not shown any willingness to act independently.

By Editor

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