Tightening by the Chinese government is helping to improve the balance sheets of banks and directing credit in the right direction, UBS AG’s China strategist John Tang said today at a Bloomberg conference. The environment for Chinese banks will remain good next year, and investors should buy the shares, Tang said in Hong Kong.
John Tang , China strategist at UBS AG, said he’s positive on China equities in the next 12 months even as there’s still some “downside.” He spoke in Hong Kong with John Dawson on Bloomberg Television’s “First Up.”
Bank of America Corp., JPMorgan Chase & Co. and three other U.S. banks reached a $25 billion settlement with 49 states and the U.S. government to end a probe of abusive foreclosure practices stemming from the collapse of the housing bubble.
The Bloomberg China-US 55 Index of the most-traded Chinese equities in the U.S. rose to a two-month high as airline profits grew and the government signaled it will move to shore up growth. Online search engine Baidu Inc. surged 7 percent in after-market hours trading after third-quarter profit topped analyst forecasts.