Year in Review: China’s Fight to Regain Its Early Stock Market Mojo

China’s stock market got off to a monumental start in 2023, when overseas investors in January poured more money into Chinese mainland shares on the net than they ever had in a single month through its trading links with Hong Kong. However, it didn’t last.

Investor confidence faltered in February after an anticipated surge in economic activity during the weeklong Lunar New Year holiday failed to live up to expectations. The Chinese balloon incident and the expansion of a U.S. trade blacklist further undermined market sentiment.