China's A-share market has opened 2026 with historic momentum, as the Shanghai Composite Index surged past last year's interim peak this week to reach its highest level since July 2015. This sustained rally reflects growing investor confidence in the Chinese mainland's economic fundamentals and market reforms.
Goldman Sachs has amplified market optimism through its newly released Global Equity Strategy report, advising investors to 'significantly overweight' Chinese equities in regional portfolios. The financial giant projects 15-20% average annual returns through 2027, driven by improving corporate earnings and ongoing valuation recovery.
Notably, the report highlights a global capital shift: European, Chinese, and Asian markets collectively delivered nearly double the total returns of US markets in 2025. Analysts suggest this trend could accelerate in 2026 as international investors seek value in Asia's resurgent economies.
While market watchers remain attentive to global economic headwinds, the current trajectory positions China's financial markets as a focal point for business professionals and institutional investors this year. The sustained growth aligns with broader regional economic stabilization efforts across Asia.
