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JD.com, Alibaba and China Tech Stocks Sink Further

The Hang Seng Tech Index was down by 3.3% at the close of trading in Hong Kong and has dropped by about 12% since April 28


The JD.com unit has appointed banks for the listing and applied to the CSRC in late January seeking an offshore listing, according to the regulator's website. Photo: Reuters.

 

Chinese tech stocks fell again on Tuesday, following a rout on Wall Street, plunging by up to 7% in morning trading in Hong Kong before recouping half their losses later in the day.

The Hang Seng Tech Index was down close to 3.3% at the close of trading and has dropped by about 12% since April 28.

JD.com fell by 8.3% to HK$207.80, Alibaba Group Holding slipped by nearly 4.4% to HK$86.40, while Meituan dropped by 3.3% to HK$151.80.

Gloomy global sentiment about inflation and China’s declining exports, caused partly by Covid lockdowns and Beijing’s orders for officials to maintain their “dynamic zero” strategy, dragged Hong Kong and Asian markets down again.

Asian shares are now at their lowest in nearly two years, with investors fretting about the rising interest rates and lower economic growth.

Customs data released on Monday showed that China’s export growth fell sharply in April – from 14.7% over the previous year in March – to just 3.9%, the lowest level in close to two years.

And according to Refintiv data, 52% of Asian companies missed their consensus earnings forecasts in the first quarter.

 

• Jim Pollard with Reuters

 

 

 

ALSO on AF:

 

Export Growth Stalls as Lockdowns Shutter China’s Factories

 

Tesla Faces Shortage of EV Parts, Halts Production in Shanghai

 

China’s Exports Hit by Covid Lockdowns, Soft Global Demand

 

 

Jim Pollard

Jim Pollard is an Australian journalist based in Thailand since 1999. He worked for News Ltd papers in Sydney, Perth, London and Melbourne before travelling through SE Asia in the late 90s. He was a senior editor at The Nation for 17+ years and has a family in Bangkok.

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