China sovereign fund Huijin buying domestic stocks as market slumps

Reuters

Mon, Apr 7, 2025, 12:58 AM 1 min read

SHANGHAI (Reuters) - China's sovereign money Central Huijin Investment said connected Monday it is expanding holdings successful China stocks and volition support marketplace stableness - comments that travel a descent successful section shares amid fears a widening commercialized warfare volition unleash a heavy recession.

Huijin said it is "firmly optimistic astir the improvement prospects of China's superior marketplace and afloat recognizes the existent concern worth of A-shares."

The authorities money has added China-listed shares via exchange-traded funds (ETFs), and volition proceed to summation holdings successful the aboriginal to "safeguard the creaseless cognition of the superior market," Huijin said successful a statement.

The Shanghai Composite Index slumped 7% connected Monday successful its worst time successful 5 years arsenic investors dumped shares crossed the committee aft the U.S. imposed much tariffs connected China which past fired backmost with its ain levies.

Asian markets were heavy sold disconnected connected Monday, adding to losses past week arsenic U.S. President Donald Trump showed nary motion of backing distant from his sweeping tariff plans that endanger to substance inflation, disrupt planetary proviso chains and trigger a planetary economical slowdown.

(Reporting by Shanghai and Beijing newsroom; Editing by Edwina Gibbs)