Focus of Shanghai-HK connect shifts to Q3-Q4

Net capital inflows into the Shanghai stock market reached nine consecutive days last week as offshore investors rode the Shanghai-Hong Kong stock connect channel to buy stocks of companies whose businesses outperformed their share prices.

According to Shanghai Stock Exchange data, capital poured into shares of automakers, resource firms and consumption-driven companies.

Analysts believe net capital inflows into the Shanghai market may be a sign that investors are more confident about the recovery of sectors that suffered due to economic restructuring and slowing growth.