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China’s stockmarket soars despite slowdown

Updated Sep 30, 2025, 7:07am EDT
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Employees of Gstar Electronic Appliance Co., Ltd work to assemble air fryers.
Go Nakamura/File Photo/Reuters

China’s economy showed possible signs of a rebound from a long-term slump, while its stock market remains on a historic bull run.

New data showed manufacturing contracted this month, but less than expected, a hopeful indication that authorities may be coming to grips with industrial overcapacity.

The country’s stocks, meanwhile, are set for their biggest monthly gain since 2018, a surge which Bloomberg tied to optimism over China’s AI advances as well as easing tensions with the US.

The coming weeks will be key: China is entering its Golden Week holiday, which will reveal the level of domestic demand, and Communist Party leaders meet soon to set out the country’s next five-year plan.

A chart showing Chinese stock indices performance since the start of the year.
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