Profit-taking saw Chinese equities snap a ten-day winning streak on Wednesday, but analysts say it’s just a small hiccup in what could be another stellar year for mainland stocks.
The benchmark Shanghai Composite closed down 0.8 percent on Wednesday after ten straight sessions of gains. Year-to-date, the benchmark index is up 12 percent, adding to last year’s over 50 percent rise.
“China must be one of the most speculative markets in the region now, so I wouldn’t read too much into it. It could be spiraling up one day and spiraling down the next,” said Hugh Young, MD & global head of equities at Aberdeen Asset Management.
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