SHANGHAI: China stocks rebounded on Thursday as some investors bought the dip following recent slumps, while a rally in broader Asian markets also helped sentiment.
China’s blue-chip CSI 300 Index rose 0.7% at close, while the Shanghai Composite Index edged up 0.1%.
Hong Kong’s Hang Seng Index added 2.1% and the Hang Seng China Enterprises Index jumped 2.5%.
Asian share markets rallied after blockbuster results from tech darling Nvidia boosted Wall Street overnight and a retreat in US bond yields eased pressure on borrowing costs globally. A round of soft surveys on manufacturing had also revived hopes central banks were done tightening.
“It’s a good time for long-term investors to buy Chinese stocks, especially as current valuation is low and attractive,” said Yang Delong, chief economist at First Seafront Fund Management.
Yang said the authorities were likely to introduce more measures to support economic recovery and boost investor sentiment for the capital market.
China’s securities regulator unveiled a package of measures on Friday aimed at reviving a faltering stock market.
Artificial intelligence-related shares gained, after Nvidia far exceeded expectations with its quarterly revenue forecast on Wednesday and said it would buy back $25 billion in stock, sending its shares soaring after market hours.
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