• Guotai Asset Management flagged 2026-05-11 surge in China equities as Shanghai Composite rose 1.08% to a fresh near-11-year high, ChiNext jumped 3.5%, total A-share turnover hit CNY 3.5 trillion.
• Risk appetite improved on expectations of easing US-China tensions, citing China’s announcement that US President Donald Trump will visit China May 13-15, alongside reported trade talks.
• April inflation data were described as supportive for equities, with CPI up 1.2% y/y, PPI up 2.8% y/y, leaving room for accommodative policy while earnings expectations improve in upstream and midstream sectors.
• Tech growth led gains as semiconductors, computing hardware, and AI-related supply chains outperformed, with storage, GPUs, and CPO among top themes.
• Outlook stayed constructive into Q3 on a reflationary backdrop of inventory and capacity cycles, favoring large-cap growth, technology, and upstream manufacturing, with a tilt to AI hardware, new energy, industrial metals, chemicals, and insurance to manage volatility.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Guotai Asset Management Co. Ltd. published the original content used to generate this news brief on May 12, 2026, and is solely responsible for the information contained therein.