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
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