[sgbuffett]

To say China stock market is bearish is an understatement.
I have monitored a lot of news on listed companies in China and very often be earnings growth, signing major contracts and various positive developments that would in a normal market drive stocks up basically has little impact.

Take this Chinese company CSPC which developed an mRNA vaccines for Covid19 that was approved for trial. You would think the stock will move up a bit given China needs this new generation of vaccine and does not want to buy from Western companies.

The stock did not move at all after its vaccine was approved for trial.



From experience, there should be an opportunity to profit from such observations by buying into the stock as others are not seeing the potential upside.

At HK$8.13 even without the vaccine being successful the stock is cheap and has plenty of upside.

[sgbuffett]