"Chinese Stocks Reach Four-Year Highs"

Historical Rise in the Chinese Stock Market

Recently attracting the attention of investors, the CSI 300 Index rose to a four-year high with a 1.6% increase. The Shanghai Composite Index also increased by 1.5%, reaching its highest level since July 2015. In this rise, materials and technology stocks played a significant role.

Optimistic Economic Outlook and Investor Expectations

Positive manufacturing data and comments from Chinese President Xi Jinping about the economy have allowed for an optimistic start to 2026. Beijing's efforts to support critical sectors and measures regarding the troubled real estate market are boosting upward expectations in the stock market.

Comments from Investment Strategists

Global X Management’s investment strategist Billy Leung stated, "Many positive factors have come together for increased confidence. The policy visibility is clearer than ever and positions were quite light towards the end of the year." He also noted that there are positive signs of balance in the manufacturing sector.

High Trading Volume and Investor Demands

The domestic trading volume reached approximately 2.8 trillion yuan (400.6 billion dollars), the highest level since mid-September. Loans taken out to purchase stocks are also at record levels.

Overall Situation in Global Markets

Despite tensions in Latin America, strong gains are being made in markets worldwide. Particularly, technology stocks related to artificial intelligence continue to attract investors' interest. However, the rally shows signs of overheating.

Forward Investments

Investors anticipate that the strong IPOs conducted by onshore artificial intelligence companies will enhance confidence. ChangXin Memory Technologies and Yangtze Memory Technologies have target valuations set at 200 billion and 300 billion yuan, respectively.