China’s AI stocks surge 65% in first half but bubble fears begin to weigh on sentiment

China’s AI stocks entered the second half of 2026 with improving earnings momentum, but scepticism about the sector is increasing 2 -MIN READ2 -MIN Published: 8:00am, 3 Jul 2026 China’s artificial intelligence stocks entered the second half of 2026 with improving earnings momentum, but first-half results and high-profile bearish positioning by US investors regarding the global AI trade have begun to weigh on sentiment. “It is only a matter of time now,” said Michael Burry, the US hedge fund manager, in a post on Substack on Tuesday. Burry, who famously shorted the American housing market before the 2008 financial crisis…