Chinese Tech Stocks Making Gains this Month

Chinese stocks, like their U.S. counterparts, hit the ground running in the first four months of 2019 amid hopes of a mutually beneficial trade deal between the United States and China. Things unraveled in May when trade tensions erupted between the two economic superpowers that resulted in both countries imposing a raft of new tariffs on each other.

China's finance ministry said Monday that it planned to ease restrictions on how the proceeds from special-purpose local government bonds were spent and encourage banks to offer loans to projects funded by such debt. The People's Bank of China hopes that the economic stimulus will offset U.S. President Donald Trump's threat of additional tariffs by boosting infrastructure investment. China's Shanghai Composite Index (000001.SS) climbed 2.6% – its biggest one-day gain since May 10 – after the ministry announced the latest measure to kickstart the world's second largest economy.

Traders who want exposure to China's economy should monitor these three large-cap Chinese companies listed on U.S. exchanges. Although these stocks remain highly sensitive to ongoing trade negotiations, they also stand to benefit from China's extensive stimulus initiatives. Let's take a closer look at each issue and its chart.

Read the full article at Investopedia.

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