Overseas index funds tracking Chinese A-shares and Hong Kong-listed H-shares saw significant net inflows last week, signaling renewed global investor confidence in Chinese equities amid improving macroeconomic conditions and technological advancements.
Emerging market ETFs listed in the U.S. attracted over 800 million U.S. dollars last week, with 571 million directed toward funds focused on Chinese A-shares and H-shares, marking the highest among emerging markets.
"Global investors are gravitating toward Chinese assets due to the government's intensified macro-policy support, including a higher budget deficit ratio reflecting its resolve to stabilize growth. The measures to boost domestic demand and consumption reflect a strong emphasis on people's livelihoods. The latest retail sales data, showing both year-on-year and month-on-month growth, prove these policies are taking effect. These factors will continue to bolster international confidence in China's market and attract sustained capital inflows," said Jiang Xianwei, senior global strategist at J.P. Morgan Asset Management.
Experts also highlighted China's technological breakthroughs as a key driver.
"China's continuous advancements in AI and robotics have showcased the world the innovation capabilities of its companies. As these technologies expand into broader applications, they will comprehensively enhance China's competitiveness, spurring demand for hardware and software while fostering new business models. This will further elevate the global appeal of Chinese assets," said Wang Kai, Chief Strategist at Guosen Securities.
Global funds flood into China's A-Shares, H-Shares ETFs as investor confidence rebounds
Hundreds of activists from Latin America, North America and Europe have arrived in Cuba as part of an international solidarity convoy, bringing over 20 tons of humanitarian aid for Cubans struggling with a severe economic and energy crisis.
The first members of the convoy arrived in Cuba by air while a second group is expected to come aboard a flotilla that sailed out of Mexico.
The first group was officially welcomed to Cuba during a ceremony in Havana, where Cuban President Miguel Diaz-Canel expressed appreciation for the solidarity at a critical time for the Cuban people.
The group brought humanitarian aid to local hospitals including medicines to treat cancer patients. The activists were briefed about the hardships currently being faced by Cubans.
Convoy organizers met with Cuban government officials and talked to the media about their initiative.
"There are deeply humanistic motivations for this convoy. That's why people are conducting these 'acopios,' these aid collections in their own communities, in their own plazas, in their own homes, packing suitcases full of basic medicines that the blockade seeks to prevent the Cuban people from accessing," said David Adler, a convoy coordinator.
Cubans have endured a deep economic crisis for the past few years, made worse by a U.S. embargo. A recent oil blockade against the country has caused a severe energy shortage.
"For us, it's a good opportunity because we are walking in the neighborhoods, we are talking to ordinary people, we are hearing people's stories. With no intermediaries, we are hearing how difficult life is right now, how it's been difficult over the last few years but how its gotten infinitely worse in the last three months because of the fuel blockade brought on by Trump," said Manolo De Los Santos, the executive director of The People's Forum.
The activists said their task is to shed light on what U.S. government policies are doing to Cuba. British Member of Parliament Jeremy Corbyn, who has joined other parliamentarians in the convoy, said that their presence in Cuba is sending a clear message.
"I think the images around the world of ordinary people coming to Cuba with the necessary equipment for children to be treated in hospital, to repair the damaged electricity system and all the rest of it is very important, and I think that will lead to pressure on governments all around the world," said Corbyn.
The 10th Summit of the Community of Latin American and Caribbean States (CELAC), which concluded in the Colombian capital Bogota on Saturday, adopted the Bogota Declaration, calling on relevant countries to abide by UN resolutions and end the economic, commercial and financial blockade against Cuba.
Cuban Foreign Minister Bruno Rodriguez said in his speech that Cuba is facing severe challenges and is engaged in a struggle for dignity and freedom. Cuba is willing to conduct serious and responsible dialogue with the United States on the basis of mutual respect, but the precondition is that neither side should interfere in each other's internal affairs or their respective political, economic and social systems.
Global activists arrive in Cuba with humanitarian aid
