March 4, 2022
China‘s property and tech sectors will be keenly watched by equity investors as they turn their focus to the nation’s top political meeting that starts Saturday.
Relief for the real estate sector, which has been dragged by slumping sales and an unprecedented cash squeeze, will be on the top of the agenda for traders. They‘ll also be on the lookout for any further fallout from the yearlong crackdown on the nation’s tech sector.
The timing of the National Peoples Congress comes as stocks onshore are still reeling from a $1.2 trillion market rout following regulatory curbs and as financial risks from the property sector continue to mount. Meanwhile, surging global inflation, a divergent U.S. monetary policy and the war in Ukraine are further complicating decision making.
Still, many expect stability and even a bounce for equities, at least in the short term. Chinas CSI 300 Index rose an average 2.6% in the month following the political gathering over the past 13 years, according to Bloomberg-compiled data. Traders say that the event, where around 3,000 delegates meet in Beijing to set economic policies for the year, could be the much needed catalyst to spur sentiment
Investors should monitor fresh signals on monetary policy, fiscal spending, tax reduction, affordable housing and infrastructure investment.
Here are the key areas to watch:
Property
Big Tech
Digital Economy
Infrastructure Spending
Energy
OneProSpecial Analyst
Buy or sell or copy trade crypto CFDs atwww.OneProglobal.com
The foregoing is a personal opinion only and does not represent any opinion ofOneProGlobal, nor is there any guarantee of reliability, accuracy or originality in the foregoing.
Forex and CFD trading may pose a risk to your invested capital.
Before making an investment decision, investors should consider their own circumstances to assess the risks of investment products. If necessary, consult a professional investment advisor.
www.oneproglobal.com
Leave a Reply