Chinese Stocks Have Already Bottomed: Investor
The Chinese stock market is leaving its Western counterparts in the dust as it emerges from the ongoing bear market first, Puru Saxena, chief executive from Puru Saxena Wealth Management, told CNBC.
“The bear market in Chinese stocks is over and given the excellent financial health of the Chinese economy … I wouldn’t be surprised if the Chinese market provides economic leadership over the next few years,” Saxena said.
Watch the full CNBC interview with Puru Saxena and Marino Valensise, CIO of Barings, in the accompanying video.
Stocks in China and other emerging Asian economies are starting to show some “genuine value,” which isn’t as present in the West, Saxena said. The nation’s market “has just completed its base formation,” he added.
Saxena is backing the natural resources sector and energy stocks as outperformers in the Chinese market.
The valuations of some natural resources stocks are “unbelievably cheap,” Saxena said.
"You can buy some of the best steel companies in the world today at less than half the book value,” he added.
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