The market optimism is driven by advancements in domestic AI models, creating a fresh wave of investment in computing infrastructure and hardware. (Photo source: Freepik) Show Quick Read Summary is AI Generated. Newsroom Reviewed

China’s stock market is seeing a notable rally this year, defying the underlying economic concerns, with the surge fuelled primarily by a potent mix of AI optimism, a strong push from domestic retail investors, and strategic government policy supporting technology self-sufficiency.

This very momentum has drawn significant interest from both foreign and domestic capital, driving key indices like the CSI 300 and the Hang Seng Tech Index sharply upward.

The two benchmarks — Shanghai Composite and Hang Sang Index — are outperforming Asian peers. The Shanghai C

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