Menu
Onshore Chinese bonds have delivered the best performance year to date and over the trailing year, outperforming other world bond markets as of the end of July.
In the period from the end of April to 22 July, the Shanghai A-share Index outperformed the S&P 500 by 11% and the MSCI Emerging Markets Index by 15%.
We expect that policymakers will continue to deploy a vast array of targeted measures.
China is both the largest single emitter of CO2 globally and the world’s top investor in renewable energy.
The economy already rebounded in June when lockdowns were lifted. Manufacturing PMI moved to 50.2 from 49.6, while both CAPEX and retail sales growth accelerated.
In the long-run, however, investors will probably have to cope with elevated risk of accelerating decoupling and even potential direct confrontation between China and the US.
Themes
Book now