“China’s equity markets, including the Shanghai and Shenzhen exchanges, have historically traded at discounts compared to global peers due to regulatory uncertainties and geopolitical tensions. However, recent technological advancements, notably DeepSeek’s AI breakthrough, have spurred a reevaluation of growth prospects. This report examines how AI-driven productivity gains, government support, and sectoral transformations are driving a rerating of Chinese equities. ”01— DeepSeek’s AI Break…

The Central Committee of the Communist Party of China, chaired by President Xi Jinping, discussed the countrys economic situation and planed for future work. The leadership emphasized the need for macroeconomic policy adjustments, including enhanced fiscal and monetary policy, such as lowering the reserve requirement ratio and introducing targeted measures to stabilize the real estate market.The meeting also highlighted the importance of stimulating domestic demand, supporting the stock market,

According to the China Financial Policy Package issued on September 24, we make some market comments as below：The State Council convened a press briefing to outline financial strategies intended to foster high-quality economic advancement on Sep 24. Collaboratively, the Peoples Bank of China( PBOC ), in partnership with National Financial Regulatory Administration (NAFR) and the China Securities Regulatory Commission( CSRC ), has introduced a comprehensive set of financial measures tailored to p