China's SOE, tech stocks rally to strengthen as traders seek shelter from faltering economic recovery, say brokerages

A rally in Chinese state-owned enterprises (SOEs) and technology stocks is likely to get a further boost in the second half of the year as investors seek shelter from a weak economic recovery, according to the midyear strategy reports of some brokerages. CSC Financial, Western Securities and Northeast Securities recommended the stocks, saying listed SOEs will remain attractive because of their appealing valuations and dividend payouts, while the boom in artificial intelligence (AI) will drive in