China-focused exchange-traded funds were on pace for their best day on record after a state-owned newspaper urged investors to purchase equities, saying, according to a translation, that a "healthy bull market" is good for the world's second-largest economy, attempting to shake off the economic effects of the COVID-19 pandemic. The largest China ETF, the iShares MSCI China ETF [S: MCHI], was up 6.8% at midday, its best performance in its nine-year history. The SPDR S&P China ETF (PSE:GXC) was 7.1% higher, and the Xtrackers Harvest CSI 300 China fund (PSE:ASHR) soared 10.6%, also an all-time high, back to 2013. Some funds that focus on particular sectors of the economy did even better: the Global X MSCI China Information Technology (PSE:CHIK) was nearly 12% higher. In the year to date, the iShares fund and the SPDR fund have both gained a little less than 14%, while the Xtrackers product is up 16.4%, compared to a 2% decline for the S&P 500 (S&P:SPX) . On Monday, the Shanghai Composite Index closed 5.7% higher.
July 6, 2020, 1:56 p.m. EDT