China Stock Frenzy Enters Overdrive on Hopes That Worst Is Over
- Hang Seng China Enterprises Index jumps 9% this week
- Bulls get a lifeline as tech audit, reopening bets fuel rally
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After nearly two years of disappointment and $6 trillion of losses, Chinese stocks soared at the fastest pace worldwide this week on frenzied speculation that a bottom has finally arrived.
A flurry of market-friendly headlines -- along with unverified talk that China is poised to exit its strict Covid Zero policy -- drove the Hang Seng China Enterprises Index to its best weekly gain since 2015. Led by tech names, the gauge soared as much as 8.8% on Friday, as Bloomberg News reported progress in efforts to prevent the delisting of hundreds of Chinese stocks from US bourses.