Long-term confidence marks A-share market

Though key indexes dip, experts stay optimistic amid mfg PMI expansion

Ups and downs can be seen as a natural phenomenon amid the A-share market's current upward trajectory, which is built on China's economic recovery, economic restructuring and stronger investor confidence, experts said.

Although the benchmark Shanghai Composite Index shed 0.42 percent and the Shenzhen Component Index slid 0.8 percent on Tuesday, northbound capital — the amount of A shares that overseas investors purchase via the stock connect mechanisms linking the Shanghai, Shenzhen and Hong Kong exchanges — exceeded 10 billion yuan ($1.5 billion). Total northbound capital inflow has topped 140 billion yuan so far this year, overtaking full-year data in 2022.

Eugene Qian, chairman of UBS Securities Co Ltd, expressed long-term confidence in the Chinese market given the country's ongoing economic recovery.