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A stunning reversal in Chinese stocks from world’s worst to best performers is stoking cautious optimism that the rally will continue as long as favorable market policies remain in place.

Rarely has a week has gone by in 2024 without Beijing unleashing new measures to buttress the market or the economy. That policy resolve has pushed an index of Chinese shares listed in Hong Kong up more than 10% this month, topping the 90-strong list of major global equity gauges. The CSI 300 Index of onshore shares has risen for nine days, its longest winning run since 2018.

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