Alibaba Group Holding Limited’s (NYSE: BABA) shares rebounded after opening lower in Hong Kong on Wednesday, while shares of other Chinese companies – Li Auto Inc. (NASDAQ: LI), Xpeng Inc. (NYSE: XPEV), JD.com Inc. (NASDAQ: JD), Baidu Inc. (NASDAQ: BIDU) and Tencent Holdings Limited (OTC: TCEHY) – are trading significantly higher.
What’s Moving: Chinese e-commerce giant Alibaba’s shares traded 0.7% higher at HKD 166.60 ($21.42) in Hong Kong, while electric vehicle maker Li Auto’s shares traded 4% higher at HKD 119.20 ($15.33) and Xpeng’s shares traded 2.3% higher at HKD 163.50 ($21.03).
In addition, e-commerce company JD.com’s shares were trading 1.9% higher at HKD 312.20 ($40.15) and technology company Baidu Inc.’s shares were almost 2.8% higher at HKD 155.50 ($20.00). Tencent Holdings’ shares are up 1.7% to HKD 489.40 ($62.94).
See Also: How To Buy Alibaba Stock
Hong Kong’s benchmark Hang Seng Index recovered after a weak start and is currently up 0.6%.
Why Is It Moving? The Hang Seng Index continued to be weighed down by lingering worries about the regulatory crackdowns as well as slowing economic growth in China.
According to a report by Nikkei, nonbank service providers such as Ant Group’s Alipay will be required to report new products and stock market listings to Chinese authorities in advance. Ant Group is an affiliate company of Alibaba.
It was also reported that China is seeking tighter intellectual property norms on the e-commerce sector, according to Bloomberg.
Shares of Chinese companies closed notably higher in U.S. trading on Tuesday even as all the three major U.S. indexes ended the day just below the unchanged line. Alibaba closed 2.9% higher, while electric vehicle maker Nio Inc.’s (NYSE: NIO) shares ended higher by almost 4%.
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