Chinese Stocks Surge to Best in 16 Years Amid Stimulus and Property Easing

Sep 30, 2024, 02:12 AM

Chinese stocks have experienced a significant surge, marking their best performance in 16 years. The Shanghai Composite Index opened up 3.47%, while the Shenzhen Component Index opened up 4.58%, and the ChiNext Index opened up 5.77%. The CSI 300 Index rose as much as 6.2% in early trading and is up 22% from its September low, heading for a bull market. This rally is attributed to recent government stimulus measures and the easing of property purchase restrictions in major cities like Guangzhou. Shares of property developers such as Kaisa Group and SUNAC have seen substantial gains, with Kaisa Group jumping as much as 71%. The Hang Seng Index futures opened up 1.84% at 21,305, with notable increases in stocks like China Vanke and NIO, which rose nearly 15%, and Bilibili, which rose more than 12%. Hong Kong's stocks have surged at a pace unseen since 1998. The Beijing Stock Exchange 50 Index also saw a record one-day gain of 15%, while the STAR 50 Index rose as much as 11%. Overall, the Chinese stock market is poised for a bull market, driven by government interventions aimed at stabilizing the economy.