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How China Uses Its ‘National Team’ to Influence the Stock Market

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Explainer Why China Uses a ‘National Team’ to Influence Trading China’s stock market has long been more volatile than Beijing would like. It’s a problem that has taken on greater urgency as the government tries to shift growth away from property and debt and toward technology and innovation. Equities are increasingly expected to help fund companies, support household balance sheets and reinforce confidence at a time of intensifying economic pressure and strategic rivalry with the US.

Explainer Why China Uses a ‘National Team’ to Influence Trading China’s stock market has long been more volatile than Beijing would like. It’s a problem that has taken on greater urgency as the government tries to shift growth away from property and debt and toward technology and innovation. Equities are increasingly expected to help fund companies, support household balance sheets and reinforce confidence at a time of intensifying economic pressure and strategic rivalry with the US. That helps explain why authorities, amid a volatile year for the nation’s stocks, have repeatedly turned to the state-backed “national team” to temper excesses in both directions. After selling stocks during a strong rally in the first half of 2026, the team now appears to be buying again as the market slumps.
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Originally published by Bloomberg Markets Read original →