There were no changes to the KraneShares models this week.
Chinese equities were muted over the past week. While rising Middle East tensions and higher oil prices supported the energy and clean technology sectors, the broader tech landscape faced selling pressure in recent days. The primary headwind was the March 24th release of Google’s TurboQuant, a revolutionary AI memory compression algorithm. By drastically reducing key-value cache requirements, the tech lowers the hardware barrier for AI, causing a sharp sell-off across Chinese semiconductor fabricators as the market repriced the future demand for traditional memory hardware (source: chinalastnight.com). Still, international equities sit in first place in the DALI asset classes rankings. This week, we highlight:
The KraneShares Bosera MSCI China A 50 Connect Index ETF (KBA) sits on three consecutive buy signals, with its latest buy signal occurring in early January. KBA has pulled back recently and now trades at its initial support at $29.50. Although the fund is down slightly year-to-date, it still maintains a strong fund score of 4.28, well into what we consider as “technically acceptable.” Additionally, KBA offers a yield of 1.57%. Long exposure can be considered on the pullback. Initial support can be seen at $29.50, with additional support at $28.50. Initial resistance can be seen at $31.50.
