As tech rallies and consumer shares lag, China’s stock market forms microcosm for economy

The stock market catalogues China’s uneven growth, as manufacturing expands and consumption falls Artificial intelligence chipmakers, from Cambricon Technologies to Moore Threads Technology, have led a roughly 50 per cent gain in the Nasdaq-style Star Market this year, as part of the global frenzy over AI. “China’s domestic consumption is weak, but technology remains a structural bright spot,” said Zheng Yueling, an analyst at Orient Securities. “For the stock market, investors need to identify structural opportunities by following industry sentiment and verifying earnings. Hi-tech manufacturing and electronics chains have the upper hand, while consumer and those linked to traditional capital expenditure face restraints on earnings expectations.”

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