Market share of China’s two largest stock markets is rising fast, making it a market with plenty of room to grow.
Photo: Reuters Markets that have seen huge price movements this year are gaining in popularity and demand, with the Chinese stock market leading the way.
The Chinese stock exchange is also seeing big gains.
Market makers, traders and analysts say China’s stock market is a great place to invest because the stock market can be traded in a way that is very easy to understand and understand what is going on in the market.
“It’s a great market, it’s a very safe market, and it’s one that people can be confident in investing in,” said Andrew Le, senior market analyst at research firm Markit.
Mr Le said the stock markets have historically been a great fit for those looking to buy shares.
“It is a well-run, well-regulated, well funded market that is going to see significant gains in the next few years,” he said.
While the Chinese markets are still relatively cheap compared with many markets in the world, they are on track to be a lot more expensive in coming years, said Mr Le.
China’s share price has risen more than 30 per cent this year, while the US stock market has increased by almost 20 per cent.
According to Markit, the US has the third-highest percentage increase in China’s share prices in the last year, with shares rising about 70 per cent more than in the rest of the world.
On Monday, Chinese stocks closed at $1,250 a share, up nearly 40 per cent on the previous day.
Markets in Asia have been in turmoil this year.
Australia has seen its share price tumble by more than 80 per cent since April and the Chinese economy is already slowing.
In recent weeks, investors have turned their attention to other markets, including South Korea and Japan.
There is little correlation between market movements and economic indicators, however, and investors often rely on other market factors such as inflation and inflation expectations to gauge how prices will change in the coming year.
But analysts say the market is still expected to see strong growth, especially in emerging markets.
Topics:stocks,industry,market-economics-and-finance,international-financial-market,asia-pacific,china,chinas-republic-of,asiaFirst posted March 07, 2019 21:59:20Contact Mark ButlerMore stories from New South Wales