Nearly 13 of Asia fund managers are buyers BofA survey
Fiscal stimulus seen as trigger for further gains
Tech sector preferred

SINGAPORELONDON, Oct 18 Reuters Global investors are buying China and betting last month39;s rally has legs, but few are willing to go large until there are far more concrete signs that the economy and earnings will improve.

The sentiment shift has been fast and furious, spurring billions of investor cash that had been diverted to India and Japan rushing back to bring China exposures from near record lows towards neutral or marketweight.

In just a month, the proportion of Asia fund managers building exposure in China jumped from 8 to 31, according to a Bank of America survey published in midOctober, and the percentage of managers looking outside China for opportunities collapsed by a similar margin.

Yet markets have already pulled back 10 from the rally39;s highs thus far and thirdquarter gross domestic product data on Friday showed the economy grew at the slowest pace since early 2023, leaving investors preparing to wait it out.

The real crux of a secondleg higher in shares is if the government is able to stimulate consumer demand, said Willem Sels, global chief investment officer at HSBC Global Private Banking and Wealth.

We think there will be more details coming through and the market is looking for a number on the size of fiscal stimulus to get excited. If we get that, then there is more room for another rise in stocks. We are…