US-listed Chinese stocks record strong gains! What happened?

Last updated:
Chinese ADRs soar!

Shares of major US-listed Chinese stocks also known as Chinese American Depository Receipts (ADRs) recorded handsome gains at the beginning of this week after China scrapped its Covid-19 quarantine rules.

Let’s see how most of the prominent US-listed Chinese companies performed this year:

US-listed Chinese stocks: Performance

US-listed Chinese stocks: China scrapped quarantine rules!

The Chinese government’s health body said on Monday that it will stop requiring inbound travelers to go into quarantine, in a major step towards easing curbs on its borders, which have been largely shut since 2020.

China's management of COVID-19 will also be downgraded to the less strict Category B from the current top-level Category A, the health authority said in a statement, as the disease has become less virulent and will gradually evolve into a common respiratory infection.

China economy: How quarantine rules affected the economy?

Chinese stocks have suffered over the past two years on account of the strict coronavirus-led movement restrictions which have led to supply-chain disruptions, earnings downgrades and an overall drop in the Chinese economy.

The Shanghai Shenzhen CSI 300 index has lost about 21.64% so far this year and the Hong-Kong based Hang Seng index has lost about 15% of its value this year. 

According to Reuters, these containment measures had slowed the $17 trillion economy to its lowest growth rate in nearly half a century, which furthermore disrupted global supply chains. 

US-listed Chinese stocks: Local market performance

US-listed Chinese stocks: US-listed Chinese stock ETF performance

This is not investment advice. Investments in the securities market are subject to market risk, read all the related documents carefully before investing. Past performance is not indicative of future returns.

  • How many Chinese companies are listed in US?

  • Can I buy Chinese stocks in US?

  • Are US companies pulling out of China?