Exchange-traded funds that target Chinese stocks were falling Monday, after China reported disappointing growth for the second quarter, bringing the ETFs deeper into the red so far this year.
Shares of the iShares MSCI China ETF MCHI were down 0.8% Monday afternoon, while the KraneShares CSI China Internet ETF KWEB fell 0.6% and the Xtrackers Harvest CSI 300 China A-Shares ETF ASHR shed 0.6%, according to FactSet data, at last check. “Fears around US-China tensions, concerns around China’s struggling property market , and the regulatory uncertainty around the ‘common prosperity’ agenda are all, in our view, reasons to worry about of the prospects of Chinese equities – even if, at this point, those fears are appear largely priced in,” Goltermann wrote.