China has since late 2020 intensified its regulatory crackdown on various industries, from technology to finance gaming and education, wiping hundreds of millions off the market capitalizations of some of the nation’s largest companies. Moreover, China’s crackdown widens as another consulting firm Capvision is recently raided over national security concerns.
Despite the latest economic data suggesting China’s economic rebound, intensified regulatory crackdown puts immense pressure on stocks. Amid this backdrop, investors could consider avoiding fundamentally weak Chinese stocks Air China Limited (AIRYY), Bilibili Inc. (BILI), and Tuniu Corporation (TOUR) in May.
