Chinese Stocks Rebound $1.75 Trillion on Improved Sentiment and Policy Support, But Investors Remain Wary After Years of Losses

Chinese stocks have rebounded nearly US$1.75 trillion from recent lows, sparking optimism that the long slump may be ending

Sentiment indicators are turning positive as policies shift to support growth, with looser fiscal and monetary policy

Foreign investors returned in February, ending 6 months of outflows, signaling renewed confidence

Analysts see room for more gains with bearish sentiment extremely negative and policy now more growth-friendly

However, most investors remain skeptical after huge losses over the past 3 years, putting pressure on China-focused funds