Chinese Stock Market in Limbo as Investors Lack Conviction

Chinese stocks have been notably calm during the recent bout of global market volatility, as investors opt to stay on the sidelines until there is clarity on tariffs and domestic stimulus.

The CSI 300 Index has moved less than 0.5% in half of the sessions over the past month. Turnover has drifted lower as traders avoided building leveraged positions. With the broader stock market lacking direction, investors are flocking to either safer fixed-income products or riskier small-cap stocks to boost returns.

“Market direction is uncertain because there’s a lack of good news, though there’s also no major negative catalyst” ...