Skype: Signal2forex / Whatsapp: +79065178835
0$0.00

No products in the cart.

Chinese stocks are too risky right now – buy its bonds instead, J.P. Morgan’s Joyce Chang suggests

A major investment bank is avoiding Chinese stocks, but buying its bonds.

J.P. Morgan’s Joyce Chang believes the country’s regulation crackdown is heating up and will create downward pressure on major market groups and industries.

“We really recommended [investors] to stay sidelined for the time being,” the firm’s chair of global research told CNBC’s “Trading Nation” on Thursday.

Chang anticipates China will actively target companies in waves, and the latest one could last another couple of months. The regulation activity is part of its “common prosperity” push that focuses on consumer and social welfare.

“Those are the buzz words, and a lot of these targets are targets until 2035,” she said. “There’s reason to be cautious here.”