China Stock Rally Pauses as Covid Cases Surge Most Since April

  • Key gauges in China, Hong Kong slip after strong recent gains
  • Reopening bets drove latest rally despite Covid Zero vow
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Chinese stocks halted a recent rally as a jump in Covid infections and official comments defending Covid Zero dented optimism for a potential reopening.

The Hang Seng China Enterprises Index slipped 0.6% on Tuesday, following gains of about 14% over the past five days. A separate gauge on Chinese tech shares trading in Hong Kong fell 1.6%.