Let’s think warm thoughts as families across China gather round their dinner tables to celebrate the winter solstice festival on Thursday evening and assume that China’s economy is in for a soft landing and will continue to grow at around 8 per cent next year, as the more bullish economists are forecasting.
Supposing they are right, would you put your money into shares of Chinese companies?
They have delivered less than stellar returns this year. The Hang Seng China Enterprises Index, which tracks mainland Chinese companies listed in Hong Kong, has fallen 23 per cent since January. That’s worse than the CAC 40 in Paris.
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