The Hang Seng tech index is up by roughly 20% today and that is sending the main index soaring by 8% as sentiment in Chinese stocks turn after a dismal past few weeks. The Shanghai Composite is also up by 3% on the day currently.
Of note, the Hang Seng is finding support from the 2016 low:
But the bounce also comes amid some positive remarks by China vice premier Liu He here on talks between US and China regulators.
The big question for Chinese investors now is, have we marked the bottom? The tech selloff has wiped out nearly a third of market capitalisation since the start of the year. If anything else, today is a good sign that perhaps investors are starting to see value again. That said, one day doesn’t make a trend.
This article was originally published by Forexlive.com. Read the original article here.