O foreign investors did not wait long to establish a new record in Chinese stocks.
Encouraged by the optimism China and U.S To overcome their trade differences, international investors bought Chinese bonds for 17.4 billion yuan ($ 2.5 billion) through trade links with Hong Kong on Friday. That number is more than double the record set a day earlier and erased net sales in October, according to data compiled by Bloomberg.
Shares of China and Hong Kong rebounded late on Friday after news that President Donald Trump wants to reach a trade deal with Chinese President Xi Jinping at the G20 summit. ) Of this month. The Shanghai Composite index rose 2.7 percent on Friday but is still down 19 percent so far this year, amid concerns over the trade dispute, the slowdown in the Chinese economy and the weakening yuan.
"Investors believe that A shares will outperform Hong Kong's values with Chinese policies to support the economy and the capital markets, so we are seeing a big influx," said Ken Chen, an analyst. KGI Securities Co., based in Shanghai, "shows a recovery in the confidence of foreign investors in stocks."
China opened its first stock exchange with Hong Kong in late 2014, allowing foreign investors unprecedented access to the country's stock market. The connection between Shanghai and Hong Kong was followed by a similar move with the city of Shenzhen two years later.
China raised daily stock market shares this year.