FX.co ★ China Stocks Gain Amid Strong PMI Data

On Tuesday, the Shanghai Composite index rose by 0.6%, crossing the 3,350 mark, while the Shenzhen Component climbed by 0.4% to reach 10,550. This rebound, following a two-day decline, was fueled by positive investor response to encouraging factory activity data. According to a private survey, Chinese manufacturing experienced an unexpected surge in March, achieving its highest expansion in four months due to strong external demand. This growth was marked by an increase in total new orders for the sixth consecutive month, alongside the swiftest rise in new export orders seen in nearly a year. Despite this optimism, investors exercised caution in anticipation of the impending implementation of reciprocal tariffs by US President Donald Trump, which are anticipated to further affect China's export-reliant economy. The gains were primarily seen in growth-oriented stocks, with standout performances by Sungrow Power (up 4.6%), Jiangsu Hengrui (up 4%), Kunshan Kinglai (up 5.6%), Cambricon Technologies (up 3.3%), and Wuxi AppTec (up 3.7%).