Chinese Stocks Still Face Risk Of 'Japanification'

China’s latest quick, dazzling stock rally has caught many investors off guard. But for those focused on the long term, there’s less fear of missing out if Japan’s experience is any guide.

A key gauge of Chinese shares listed in Hong Kong has gained about 30% since authorities unveiled sweeping stimulus measures late last month, a move that reflected a sense of urgency to achieve the official annual economic growth target of around 5%.

Authored by Tyler Durden via ZeroHedge October 7th 2024