(Yicai) Oct. 28 — Shanghai’s benchmark stock index climbed back above 4,000 for the first time in a decade today on a mix of China-US trade deal hopes and pro-growth domestic policy signals, with analysts broadly expecting the rally to run through this year.
The Shanghai Composite Index [SHA: 000001] reached 4,010.73 in the morning trading session, the highest since August 2015, but retreated to close 0.2 percent down at 3,988.22. The gauge has pushed 19 percent higher since the end of last year.
The rally has been driven by two main factors, an analyst at Maxwealth Fund Management told Yicai. Firstly, the initial consensus reached in trade talks between China and the United States in Kuala Lumpur last weekend, which materially eased external uncertainties and lifted risk appetite, the person said.
Secondly, the recommendations for China’s upcoming 15th Five-Year Plan, which were signed off last week and emphasize high-quality…
