China Stock Sentiment Improves, Morgan Stanley Urges Caution

Sentiment Shifts in Mainland Chinese Stock Markets Amid Economic Optimism

Over the past week, sentiment towards mainland Chinese stock markets has seen a notable improvement, driven by anticipation of further government stimulus and encouraging economic data. This positive shift has contributed to gains across regional markets, marking a strong rebound following a lukewarm beginning to the second quarter. Notably, China’s blue-chip index alongside the broader index has experienced an uptick, with trading values soaring between 1.4% and 2%.