Saturday, 4 July 2015

Still bullish on China

CHAIRMAN of Value Partners Group Ltd Datuk Cheah Cheng Hye saw the 20% correction in Chinese stocks coming.

That’s before the Shanghai Stock Exchange Composite Index (SSE) peaked in mid-June, after surging 150% in a year.

At a time when experts from the West are trimming China’s economic growth forecast to below 7%, Cheah holds on to his bullish views on China’s growth in the long term.

Morgan Stanley cut its estimates for mid-2016 for the SSE after the index fell some 13%. The new target is 3,250 to 4,600 compared with the previous year end target of 4,000 to 4,800.

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