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Chinese equities poised to rebound after unsustainable low

IN OUR analysis, investor sentiment and valuation in Chinese equities are currently at unsustainable lows. As such, we are positive on the relative case for the Chinese equity market's prospects as we move into the latter part of this year. While we can expect the realisation of some degree of slowing growth, policy tools are available to underpin the economy so it should not be fully derailed.

We have identified several positive catalysts that could help China's market recover. These include an easing...

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