{"id":516095,"date":"2022-11-26T01:44:00","date_gmt":"2022-11-25T22:44:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/market-extra-why-chinas-covid-policies-are-rattling-investors-again\/"},"modified":"2022-11-26T01:44:00","modified_gmt":"2022-11-25T22:44:00","slug":"market-extra-why-chinas-covid-policies-are-rattling-investors-again","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/market-extra-why-chinas-covid-policies-are-rattling-investors-again\/","title":{"rendered":"#Market Extra: Why China\u2019s COVID policies are rattling investors again"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a24096328bdc\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a24096328bdc\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/market-extra-why-chinas-covid-policies-are-rattling-investors-again\/#%E2%80%9CMarket_Extra_Why_Chinas_COVID_policies_are_rattling_investors_again%E2%80%9D\" >&#8220;Market Extra: Why China\u2019s COVID policies are rattling investors again&#8221;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/market-extra-why-chinas-covid-policies-are-rattling-investors-again\/#China-related_ETFs_suffer_hefty_weekly_losses\" >China-related ETFs suffer hefty weekly losses<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/market-extra-why-chinas-covid-policies-are-rattling-investors-again\/#Isabel_Wang\" >Isabel Wang<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9CMarket_Extra_Why_Chinas_COVID_policies_are_rattling_investors_again%E2%80%9D\"><\/span>&#8220;Market Extra: Why China\u2019s COVID policies are rattling investors again&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"China-related_ETFs_suffer_hefty_weekly_losses\"><\/span>\n  China-related ETFs suffer hefty weekly losses<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div id=\"cx-next\" data-nosnippet>\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap crawler\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0001427911\" role=\"document\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div data-layout=\"\n                inline\" data-layout-mobile=\"\" class=\"\n          media-object\n          type-InsetArticleReader\n              \n              inline\n  article__inset\n          article__inset--type-InsetArticleReader\n              article__inset--inline\n  \"><\/p>\n<div class=\"media-object-article-reader\">\n<div class=\"audioplayer\" data-sbid=\"WP-MKTW-0001427911\" role=\"region\" aria-label=\"Listen to Article\" tabindex=\"-1\" id=\"articlereader\" data-show-title=\"false\" data-theme=\"wsj-article-reader\" data-show-header=\"false\" data-show-subscribe=\"false\" data-ads-enabled=\"true\" data-save-publication=\"false\">\n        <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       Investors in China-related assets who had expected a significant easing of COVID curbs were left dis<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ointed this week as the country battles the worst wave of cases since Shanghai\u2019s outbreak earlier this year.\u00a0<\/p>\n<p> China-related ETFs tumbled this week, with shares of the iShares MSCI China ETF<br \/>\n        MCHI,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/206267952\/composite\" class=\"negative\">-1.82%<\/bg-quote><br \/>\n       losing 3.4%. The KraneShares CSI China internet ETF<br \/>\n        KWEB,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/205873167\/composite\" class=\"negative\">-4.42%<\/bg-quote><span>,<\/span><br \/>\n       which provides concentrated exposure to China-based companies whose businesses are focused on internet-related <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a>, shed 7.4% for the week, according to Dow Jones Market Data.<\/p>\n<div class=\"paywall\">\n       iShares China Large-Cap ETF<br \/>\n        FXI,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/208670743\/composite\" class=\"negative\">-1.71%<\/bg-quote><br \/>\n       which offers exposure to large companies in China by tracking the FTSE China 50 Index<br \/>\n        XIN9X000,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210597941\/delayed\" class=\"positive\">+0.86%<\/bg-quote><span>,<\/span><br \/>\n       booked a weekly loss of 2.9%. Meanwhile, shares of the SPDR S&amp;P China ETF<br \/>\n        GXC,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/209472236\/composite\" class=\"negative\">-1.67%<\/bg-quote><br \/>\n       booked a weekly loss of 3.2%, while the Xtrackers Harvest CSI 300 China ETF<br \/>\n        ASHR,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/205950053\/composite\" class=\"negative\">-1.15%<\/bg-quote><br \/>\n       shed 2.3% for the week, Dow Jones Market data showed.<\/p>\n<p><strong>See: <\/strong>As COVID cases rise, China locks down despite criticism<\/p>\n<p>Earlier this month, investors applauded as the Chinese government announced tweaks to its \u201czero-COVID\u201d policy, which relies on mass testing and quarantines to stem outbreaks. The move raised a glimmer of hope that the government was considering easing its draconian pandemic restrictions.<\/p>\n<p>For example, the government reduced the amount of time international <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/trip-and-travel\/\" data-internallinksmanager029f6b8e52c=\"10\" title=\"Trip &amp; Travel\" target=\"_blank\" rel=\"noopener\">travel<\/a>ers entering the country must spend in quarantine, and airlines will no longer face a suspension of flights if they carry COVID-positive passengers. The same shortened quarantine period also applies to local people who are identified as \u201cclose contacts\u201d with known or suspected positive COVID cases. Mass testing is also forbidden unless it is unclear how infections are spreading in an area.<\/p>\n<p>However, as the country reported a record number of daily COVID infections Thursday, cities such as Beijing and Guangzhou were once again locking down apartment compounds, forcing residents from leaving for at least a few days.\u00a0<\/p>\n<p>Municipal governments have not announced citywide lockdowns yet, and it is unclear how many people are affected at a city level. Beijing has a population of 21.6 million, while Guangzhou, a major transportation hub in the south, has nearly 19 million residents.\u00a0<\/p>\n<p>Oil futures have fallen sharply, with the U.S. benchmark<br \/>\n        CL.1,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/211629951\/delayed\" class=\"negative\">-1.78%<\/bg-quote><br \/>\n       down nearly 12% so far in November. The selloff has been blamed partly on concerns continued restrictions will keep a lid on crude demand from one of the world\u2019s largest energy consumers.<\/p>\n<p><strong>Read: <\/strong>China cuts bank reserve requirements as lockdown fears spark panic in Beijing<\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>China\u2019s central bank Friday cut its requirements for how much deposits local banks must set aside against the credit that they extend, boosting lending to households and businesses and trying to stimulate the world\u2019s second largest economy in defiance of a global trend toward monetary tightening.<\/p>\n<p>\u201cUltimately, the authorities will have to accept a much higher level of COVID cases while attempting to reopen the economy particularly coming into the all-important Chinese New Year which is in January 2023 \u2013 much earlier than previous years,\u201d wrote Sean Darby, global equity strategist at Jefferies.<\/p>\n<p>Darby thinks that Chinese banks have plenty of cash on hand because consumers just aren\u2019t spending. This latest decision by the PBOC to cut its reserve requirement was meant to \u201cdemonstrate there is little to hold back the banks from lending,\u201d Darby said in a Friday note. <\/p>\n<p>U.S.-listed Chinese stocks fell on Friday with the Nasdaq Golden Dragon China Index down 3.3%. Internet stocks including Alibaba<br \/>\n        BABA,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/201948298\/composite\" class=\"negative\">-3.82%<\/bg-quote><span>,<\/span><br \/>\n       Baidu<br \/>\n        BIDU,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/209050136\/composite\" class=\"negative\">-3.75%<\/bg-quote><span>,<\/span><br \/>\n       JD.com<br \/>\n        JD,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/205122565\/composite\" class=\"negative\">-5.32%<\/bg-quote><br \/>\n       and NetEase<br \/>\n        NTES,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/201683625\/composite\" class=\"negative\">-1.50%<\/bg-quote><br \/>\n       declined by over 3% each, and have lost at least 30% so far in 2022.<\/p>\n<p>The broader U.S. stock market was little affected this week by COVID developments in China with three main indexes finishing the shortened week with gains. The S&amp;P 500<br \/>\n        SPX,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210599714\/realtime\" class=\"negative\">-0.03%<\/bg-quote><br \/>\n       was up 1.5% for the week, while the Dow Jones Industrial Average<br \/>\n        DJIA,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/233334189\/composite\" class=\"positive\">+0.23%<\/bg-quote><br \/>\n       booked a weekly gain of 1.8% and the Nasdaq Composite<br \/>\n        COMP,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/225698164\/composite\" class=\"positive\">+1.42%<\/bg-quote><br \/>\n       was up 0.7%, according to Dow Jones Market data. <\/p>\n<p><strong>Don\u2019t miss:<\/strong> Fed\u2019s Bullard set to talk inflation, interest rates in MarketWatch Q&amp;A Monday<\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>    <span>By<\/span><\/p>\n<div class=\"author mobile-scrim hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Isabel Wang\",\"subhead\":\"The Wall Street Journal\",\"list\":[{\"type\":\"link\",\"icon\":\"bio\",\"url\":\"https:\/\/www.marketwatch.com\/topics\/journalists\/isabel-wang\",\"text\":\"Biography\"},{\"type\":\"link\",\"icon\":\"twitter\",\"url\":\"https:\/\/twitter.com\/Isabelxwang\",\"text\":\"@Isabelxwang\"}]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Isabel_Wang\"><\/span>Isabel Wang<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p><ufc-follow-author-widget product=\"marketwatch\" author-id=\"272_MW\" author-name=\"Isabel Wang\" signin-url=\"https:\/\/accounts.marketwatch.com\/login?target=https%3A%2F%2Fwww.marketwatch.com%2Fstory%2Fwhy-chinas-covid-policies-are-rattling-investors-again-11669406640%3Frss%3D1%26siteid%3Drss\" panda-api=\"https:\/\/follow-api.marketwatch.com\"><\/ufc-follow-author-widget><\/div>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B20C06575-04D4-B545-715C-9C703A9ACB70%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;Market Extra: Why China\u2019s COVID policies are rattling investors again&#8221; China-related ETFs suffer hefty weekly losses Investors in China-related assets who had expected a significant easing of COVID curbs were left disappointed this week as the country battles the worst wave of cases since Shanghai\u2019s outbreak earlier this year.\u00a0 China-related ETFs tumbled this week, with&#8230;<\/p>\n","protected":false},"author":1,"featured_media":516096,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.mktw.net\/im-673912\/social","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-516095","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/516095","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=516095"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/516095\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/516096"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=516095"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=516095"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=516095"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}