Zhang Jun, chief economist and head of research at China Galaxy Securities, said
last week’s US tech-led selloff weakened global risk sentiment but does not
alter A‑share core pricing logic. Institutional reforms are advancing, listed
companies’ operating quality is steadily improving and market resilience is
rising. Valuations are overall low with ample margin of safety; CSI 300 P/E is
about 13x, near its historical median, providing a valuation buffer. Earnings
dynamics are shifting from scale-driven growth to premiums tied to global
competitiveness. Investors should prioritize fundamental quality improvement
over short-term sentiment swings, treat overseas volatility as temporary, and
position for long-term opportunities tied to new productive forces and
high-quality development.
