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Chinese technology stocks sold off .

 Chinese technology stocks sold off sharply yesterday in response to Xi Jinping’s securing a third term as the country’s leader and data showing the economy missing growth targets. Hong Kong’s Hang Seng Tech index dropped 9.7 per cent after the Chinese gross domestic product fell short of the target set by Beijing for the third quarter. Growth in the three months was 3.9 per cent yearly, below the annual goal of 5.5 per cent. Nasdaq’s Golden Dragon index, which tracks US-listed shares in Chinese companies, dropped 15 per cent as Alibaba, JD.The gauge is down about 50 per cent since the end of 2021. Alibaba fell 14 per cent on the Wall Street morning, pushing it below its $68-a-share initial public offering price in New York eight years ago, in the world’s most immense listing.


Since its debut, Alibaba has raised revenues more than 14-fold and doubled adjusted profits. The subsequent 80 per cent decline in Alibaba’s share price equates to a loss of about $670bn in equity market value.

One Alibaba employee said Beijing’s antipathy and the sinking shares had sapped «drive and energy» from the company. Alibaba said it was «illogical to use the view of one employee to represent the more than 240,000 strong at Alibaba».

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  1. Brianna30 October 2022 at 22:00

    China is in for a rude awakening once their bubble bursts and it will soon do so. It's clear to many that Xi Jinping's rule is not a good one for the economy. I feel the Chinese economy is in for 3-5 years of very bad weather.

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