China: Free Float Market Capitalization of Listed Companies / M2

Macro

2026-07-30

Description

The Free Float Market Capitalization/M2 of listed companies in China is mainly used to measure the extent of market capital investment in the stock market. When this indicator is too high, it represents a large influx of funds into the stock market, which may lead to a rapid rise in stock prices and the risk of diverging from fundamentals. Conversely, a lower indicator may indicate a relatively smaller stock market or a lack of liquidity in the market.

Published by
Choice Eastmoney
Frequency
Monthly
Next Update

AI Data Insight

In Q2 2026 (June), the ratio of domestic listed companies' floating market capitalization to M2 in China rose slightly to 0.2965, higher than May's 0.2963. Although June's broad money supply (M2) growth missed expectations, weak real economy credit prompted funds to spill over into the stock market. With the PBOC stating it will maintain moderate easing, ample liquidity remains the key driver supporting A-shares.

AI Data Insight

In Q2 2026 (June), the ratio of domestic listed companies' floating market capitalization to M2 in China rose slightly to 0.2965, higher than May's 0.2963. Although June's broad money supply (M2) growth missed expectations, weak real economy credit prompted funds to spill over into the stock market. With the PBOC stating it will maintain moderate easing, ample liquidity remains the key driver supporting A-shares.

Description

The Free Float Market Capitalization/M2 of listed companies in China is mainly used to measure the extent of market capital investment in the stock market. When this indicator is too high, it represents a large influx of funds into the stock market, which may lead to a rapid rise in stock prices and the risk of diverging from fundamentals. Conversely, a lower indicator may indicate a relatively smaller stock market or a lack of liquidity in the market.

Published by
Choice Eastmoney
Frequency
Monthly
Next Update