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Episode Description
China's stock markets have been on a tear over the last few months, with the benchmark CSI 300 Index – which tracks the biggest companies listed in Shanghai and Shenzhen – up 25% since its low point in February.
- Beijing has wanted the market to rally for quite some time – but this upsurge has come as something of a surprise.
- China’s economic fundamentals aren’t really conducive to a market recovery: deflation isn’t getting any better, consumer confidence is still weak, the property sector has been worsening, and local governments still aren’t paying their suppliers.
But Beijing is hoping that there's a real foundation to this rally – a foundation that it's responsible for building, quietly and gradually, over the past 18 months.
In our latest podcast, Trivium Co-founder Andrew Polk and Dinny McMahon, Head of Markets Research, discuss the recent market rally, as well as the changing role Beijing envisions for the stock market in the economy.
They also explore Beijing's:
- Concept of a "slow bull market"
- And efforts to rebuild public trust in the market, to make it a worthwhile place to invest