(Bloomberg) -- China's small-cap stocks are officially in a bull market for the first time in years.
The ChiNext Index closed 3.1 percent higher, taking its rally since an Oct. 18 low to more than 20 percent -- the threshold that typically denotes a bull market after a decline of the same magnitude. The risk-on sentiment was widespread on Friday, with gains accelerating in China's afternoon session. The CSI 300 Index rose 2.3 percent to its highest since July.
Chinese equities have taken off this year as weak economic data made monetary policy easing almost a certainty, while the removal of trading curbs by the new securities watchdog has revived appetite for risk. The rally since Jan. 3 has added almost $1 trillion to the value of the country's equities, according to data compiled by Bloomberg as of Thursday.
To contact the reporter on this story: Sofia Horta e Costa in Hong Kong at shortaecosta@bloomberg.net
To contact the editors responsible for this story: Richard Frost at rfrost4@bloomberg.net, David Watkins
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