China’s $11 Trillion Stock Market Stages Steady Resurgence

Chinese stocks have gained ground in recent months despite a lack of major catalysts, with ample domestic liquidity likely to sustain the rally.

Mainland households, flushed with record-high savings, are turning to equities for better returns as interest rates continue to drift lower. The amount of margin loans taken out to buy stocks climbed to the highest level since 2015 this week. The momentum is also seen in the monthly average turnover on onshore exchanges, which is on track for a third month of advances.