Shanghai advances with US election and reinforcement from Beijing
According to InfoMoney, the Shanghai index gained more than 2%, driven by the favorable reading of the outcome of the vote in the US and by supporting initiatives launched by Beijing.
BY THE X-TRADER NEWS NEWSROOM · REPORTING FROM INFOMONEY · 2 MIN
This Wednesday, November 4th, the Chinese stock market experienced its most positive session for a long period. According to InfoMoney, Shanghai's benchmark index advanced more than 2%. The appreciation gained momentum after lunch, after a morning without major variations.
The most cited factor was the outcome of the American midterm legislative vote, in which Democrats won control of the Senate and the House.
According to InfoMoney, some analysts interpreted the result in the US as favorable to stocks and gold. This is what explains the effect of an American vote on an Asian session.
As a second reason, there are the support initiatives announced by the Beijing authorities. Together, these two elements supported a trading session that opened without a defined direction and ended with the best performance of the index in seven months.
What is at stake is whether the rise continues or becomes restricted to an isolated session.
What changes for the investor
For those who follow China, the day shows that official support and the political scenario in the United States are on the radar of stocks and assets such as gold. A strong trading session, however, does not guarantee continuity, and those who trade need to observe whether the appreciation is sustained in the next sessions. This article does not recommend the purchase or sale of any asset.
Automatically translated from Portuguese.
