What is going on in China? Since Xi Jinping ascended the dragon throne on 10/23, Chinese stocks have dramatically outperformed. Chinese stocks are up 25% vs. S&P is up 2%. China is also outperforming emerging markets.
But I don't see the bullish news. China is still struggling with lockdowns, and now civil unrest. And Xi was cracking down on China's capitalists before. Why is his assumption of absolute power a sign that anything is getting better?
Can someone explain why permanent one party rule, and more centralized power is bullish for Chinese stocks?
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