The Shanghai Composite Index (SHCOMP), a key indicator of the Chinese stock market, could be the turnaround story that global investors are waiting for. The big turn happened in September 2024 when the Chinese government unveiled key reforms in the real estate sector.
Then, China’s property market stability and economy were bolstered by coordinated efforts to address low confidence, falling prices, and liquidity issues affecting major developers. Since then SHCOMP has climbed 22% and is currently around 3,300. It had crashed to a low of 2,700 in September 2024.
Here’s a brief on the journey of the Shanghai Composite Index. Shanghai Composite Index was at an all-time high level of around 5,133 in January 2007, before the global financial crisis hit the financial markets. The next high was 4,381 which was reached in January 2015.
However, except for the bullish sentiment taking hold in September 2024, the sentiment had been…
