Beijing Business Daily says the A-share market is driven by reallocation among existing funds, with frequent sector rotation. Although indices have posted a choppy rebound, the absence of coordinated capital flows makes a broad-based rally unlikely. Overall market capital remains stable but cannot cover all sectors and names; persistent structural divergence and sector-led rallies will be the prevailing market feature, requiring investors to adjust positioning.

2026-10-20

Beijing Business Daily says the A-share market is driven by reallocation among existing funds, with frequent sector rotation. Although indices have posted a choppy rebound, the absence of coordinated capital flows makes a broad-based rally unlikely. Overall market capital remains stable but cannot cover all sectors and names; persistent structural divergence and sector-led rallies will be the prevailing market feature, requiring investors to adjust positioning.