Asian equities were off following the US equity market’s downdraft as China, and Hong Kong were the only markets up.
Asian equities were off following the US equity market’s downdraft as China, and Hong Kong were the only markets up. The Shanghai Composite gained +2.49%, Shenzhen +3.49%, STAR Board +4.42%, Hang Seng +0.06%, and Hang Seng Tech +1.68%. Tech-heavy Taiwan was off -2.05% as a Covid outbreak failed to receive western media attention. President Xi headed the top economic policy team meeting, which resulted in a press release promising “all-out efforts” to support key areas of the economy. The release following the meeting called for “all-out efforts to strengthen infrastructure construction,” focusing on “sci-tech facilities, water conservancy projects, transport hubs, information infrastructure, and national strategic reserves.” The news sent material stocks in China and Hong Kong up +6.01% and +5.73%, and industrials stocks in China and Hong Kong +4.52% and +2.34%. The release also stated, “a smart grid must be developed, a series of new green, low-carbon energy bases built,” which lifted the cleantech ecosystem. Several important and widely held stocks released strong first quarter results as earnings season kicks off in China. Ganfeng Lithium (0024600 CH) gained +10% after quarterly profit jumped +955% as net income was RMB 3.
