ZINGER KEY POINTS
- Hang Seng Index down about 0.78%
- Chinese Vice Premier says government will support development of digital economy firms and their public listings
- Alibaba and Tencent are expected to post lackluster quarterly results
Shares of U.S.-listed Chinese firms traded mixed in Hong Kong on Wednesday morning, with web search giant Baidu Inc and electric vehicle maker NIO Inc among stocks that were in the green.
Among major tech names, Alibaba Group Holding, JD.com Inc, and Tencent Holdings slid, while Li Auto Inc and Xpeng Inc were under pressure in the EV sector.
How U.S.-listed Chinese Stocks Are Faring In Hong Kong Today
Shares of these Chinese companies ended significantly higher in U.S. markets on Tuesday.
Global Markets Recap:
At press time, Hong Kong’s benchmark Hang Seng Index pared gains and was down about 0.78% amid negative sentiments from Chinese peers. Elsewhere, Australia’s ASX 200 gained over 0.95%, Japan’s Nikkei 225 was up 0.72%, while Shanghai’s SSE Composite Index lost 0.43%.
Chinese Vice Premier Liu He said the government would support the development of digital economy firms and their public listings, in a possible relief for Alibaba, Tencent, Baidu and other tech stocks reeling under regulatory pressure.
A massive government restructuring plan for Hong Kong’s Chief Executive-elect John Lee Ka-Chiu’s incoming administration is expected to cost taxpayers an extra HK$95 million (US$12.1 million) a year, three times the amount estimated by his predecessor, according to SCMP reports.
Company In News:
Jack Ma-backed Alibaba and Ant Financials sold their 43% stake in India’s Paytm E-Commerce for Rs. 42 crores (or roughly over $5.4 million).
JD on Tuesday posted an 18% jump in first-quarter revenue to $37.8 billion, beating the average market estimate.
Alibaba and Tencent, however, are expected to post lackluster quarterly results.
Nio is set to debut with its secondary listing on the Singapore Stock Exchange on May 20. The stock listed in Singapore will be fully fungible with the ADSs on NYSE.
According to Pandaily, Leading Ideal HK Limited – an affiliate of Li Auto – has set up a wholly-owned subsidiary in the Sichuan province. The company deals with the design and service of integrated circuit chips and making auto parts and accessories.
Originally Posted May 18, 2022 – Alibaba Down Over 2%, Nio Jumps 7%: What’s Weighing On Hong Kong Stocks Today?
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