In Rush to Exit Yuan, China Traders Buy Sinking Hong Kong Stocks
- Chinese investors add 23.7 billion yuan of the city's equities
- HSBC, ICBC most-traded Hong Kong stocks via link in December
Yuan: Can China Create the Stability It Needs?
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Chinese investors are so desperate to shift their money out of yuan-denominated assets that they’re piling into some of the world’s worst-performing stocks.
Mainland buyers purchased Hong Kong shares through the Shanghai stock link for a 10th week last week, even as the Hang Seng Index tumbled 6.7 percent. Chinese traders held 112.5 billion yuan ($17.1 billion) of the city’s equities by Monday, the most since the bourse program started in 2014, and up by 23.7 billion yuan since late October. With the yuan weakening, investors are looking for a way out, according to Reorient Group Ltd.