Despite a pandemic that began in China, 2020 has transformed into the year it all came together for the country’s capital markets, as foreign investors snapped up more than 1-trillion renminbi worth of stocks and bonds.
China’s benchmark CSI 300 index is up about 27% this year in dollar terms, beating the S&P 500 by more than 13 percentage points. The tech-focused ChiNext, meanwhile, has risen some 59%.
Vaccine optimism and hopes of an economic recovery next year have ignited sweeping gains in commodity prices, with rebounding energy markets leading the way higher.
The broad S&P GSCI index has rallied 14% since the start of November, with the energy sector jumping 24%, industrial metals up 14% and agriculture 5%. Gold, which hit record peaks earlier in 2020, has been among the few outliers, falling 3% as investors took profits on their exchange traded fund holdings.
Would you like to comment on this article or view other readers' comments?
Register (it’s quick and free) or sign in now.
Please read our Comment Policy before commenting.