Macro Minutes: China: Reasons for Optimism

In our latest Macro Minutes video, Portfolio Engineer Austin Fraser discusses Fisher Investments’ optimistic views of China’s equity markets and examines the catalysts behind China’s positive performance, despite global, developed, and emerging equity markets’ negative performance.

Key Points

  • The Chinese government has backed off its regulatory push that weighed heavily on sentiment since last year, removing a major headwind for equities moving forward.
  • The Chinese government is actively stimulating and supporting the economy ahead of the National Party Congress this fall.
  • History suggests a relatively quick economic recovery following the lifting of COVID-restrictions, and China’s June economic activity provided early signs of a rebound.

*The foregoing information constitutes the views of Fisher Investments based on information believed to be reliable. There can be no assurances that Fisher Investments will continue to hold these views. These views may change at any time based on new information, analysis, or reconsideration.
About Fisher Investments

Founded in 1979, Fisher Investments is an independent, fee-only investment adviser with $197 billion under management.* Fisher Investments maintains four principal business units, Fisher Investments Institutional Group, Fisher Investments Private Client Group, Fisher Investments 401(k) Solutions Group and Fisher Investments Private Client Group International, which serve a global client base of diverse investors. The clients of Fisher Investments and its affiliates include over 100,000 clients. Founder and Executive Chairman Ken Fisher’s “Portfolio Strategy” column for Forbes ran from 1984 through 2016, making him the longest continually running columnist in the magazine’s 90+ year history. He has also authored several New York Times bestsellers on finance and investing. (*As of 3/31/2022)