US-listed Alibaba and other Chinese tech giants traded lower early Friday, but only after rising in an attempt to rebound from a rocky year during the previous session.
Alibaba (ticker: BABA) fell 1.1% in premarket trading on Friday after closing up nearly 10% on Thursday. JD.com (JD) jumped 7.3% on Thursday and fell 1.6%. Baidu (BIDU) was down 0.9%, up 10.5% in the previous session, and Bilibili (BILI) was down 2.6% after rising more than 12% on Thursday.
According to Businesshala, the Nasdaq Golden Dragon China Index, which is made up of Chinese companies publicly traded in the US, rose 9.4% on Thursday, its biggest climb since 2008.
Alibaba rose 8.2%, JD.com 5.5%, Baidu 8.3% and Bilibili 7.8% in a brief Hong Kong trading session on Friday.
Hang Seng Tech Index,
Hong Kong-listed shares of China’s biggest technology companies rose 3.6% on Friday.
The reasons for gains in Chinese Internet and technology companies varied, with some market participants citing bargains, while others cited traders closing short positions.
Whatever the reason, gains for Alibaba on Thursday lifted the stock off its annual low. It ended the session at $122.99, from a 2021 low of $111.96 that it closed on December 3. US stocks are down 47% this year.
Alibaba, like the rest of the Chinese technology sector, has found itself on the wrong side of regulators as President Xi Jinping tightens his grip on the country’s economy. Beijing has launched an action aimed at increasing regulations to promote online security, antitrust and data security.
Write to Joe Woelfel at [email protected]