On April 17, an article titled "China Strengthens Its Position as an Alternative to the US for Investment" was published. It stated that on April 2, a trade war was launched, and its economic bullying policy centered strategically on China. In this dispute that inevitably affected the financial markets, China countered the US with a reciprocal escalation of tariffs. Moreover, since the beginning of this year, China's stock market has started to attract international capital.
Both the Chinese and US stock markets have been affected by the trade war, but currently, China's stock market is performing better than that of the US. A professional said, "The increasingly likely economic decoupling makes the Chinese market more resilient compared to other indices during the global market downturn."
This expert believes that the Chinese government holds favorable factors: since the new administration took office in the US, China has reduced its export dependence on the US. Additionally, it is estimated that 85% of Chinese exporters also sell their products domestically.
The article pointed out that the newly added tariffs will undoubtedly bring more uncertainties, but faster and larger - scale stimulus measures can offset this impact. A foreign investment management company believes that China's stock market is less affected by exports. In a low - interest - rate environment, high dividend yields and stock buybacks offer attractive returns to domestic investors.
On April 17, another article titled "Escalating China - US Tensions: Wall Street Caught in the Middle" pointed out that the China - US trade war has reached an unprecedented situation. The current escalation has raised the question of whether the global financial industry will reduce its business layout in China. However, as shown in a recent study, in the past decade, despite the increasingly tense China - US relations, most international financial institutions have continued to expand their business in the Chinese market.
The article emphasized that the key is that they conduct business according to China's terms and operate steadily in a system where government supervision and policy goals take precedence, different from traditional free - market norms. This pragmatic cooperation is quietly rewriting the global financial order.
For decades, China's capital market has continuously expanded its opening - up, promoting global financial institutions to expand their business scope in China.
Wall Street has not tried to make China adapt to the global financial order but has instead chosen to adapt to China's unique model. The reason is clear: the Chinese market is so large that it cannot be ignored.
The article said that Wall Street is trying to strike a balance between China and the US. Although some businesses have been scaled back, Wall Street firms have not left China. Instead, they are learning how to conduct business under the constraints of a system with different priorities. This indicates that the free financial order once defined by Anglo - American norms is becoming more diversified.