Chinese Stocks Gain 20% From Lows, Fueling Market Bottom Calls

  • Hang Seng Tech Index gains more than 20% from January low
  • Sentiment, foreign inflow and earnings suggest durable bottom

The current sentiment marks a sharp improvement from just months ago, when Chinese shares were among the world’s worst performers.

Photographer: Qilai Shen/Bloomberg
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A rally in Chinese stocks has sent a number of benchmarks surging 20% from lows, a sign that the battered market may be headed for a more sustainable uptrend after multiple false dawns over the past year.

The Hang Seng Tech Index became the latest gauge to enter a technical bull market during Tuesday trading, joining the ChiNext gauge of China’s growth shares and other sectoral indexes on materials and renewables to hit the milestone.