Yields on US 10-year notes spiked to the highest since early 2020 overnight, dragging down global and Asian equity markets as richly priced tech stocks declined.
Onshore A-share market has shown more resilience historically both as yield was rising and stayed above trend, which supported their preference for A-shares, they said in a note.
Chinese H-shares listed in Hong Kong rose 1.27% to 11,390.39, while the Hang Seng Index was up 1.2% at 29,328.38, supported by a 3.3% gain in the IT sector.
"This week does not necessarily mark the end of the rally. New fund flows from retail investors could continue for a while," said Thomas Gatley, China corporate analyst at Gavekal.