20211029 market spotlight 2

China's CSI 300 Index rose 0.9% in October, its second consecutive rise after three months of declines. (Source photo by AP and Reuters)

Foreign investors tiptoe back into Chinese stocks

Alarm over Xi's regulatory crackdown gives way to fear of missing out

HONG KONG -- Chinese equities, one of the most shunned asset classes among global investors this year, are regaining favor, with institutions from Fidelity to BlackRock tipping stocks again.

China's main share index shows signs of recovery after flirting with bear market territory since a peak in February. Some investors eschewed the country amid Beijing's regulatory crackdown. But investors anticipate a policy loosening to combat China's economic slowdown, and various strategy notes hail Chinese valuations as compelling.

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