Shares of major U.S.-listed Chinese companies traded mixed in Hong Kong on Thursday as they struggled for direction.
Chinese tech giants like Alibaba Group Holdings (NYSE:BABA), Baidu Inc (NASDAQ:BIDU), and JD.com (NASDAQ:JD) were trading marginally higher, whereas Tencent Holdings (OTC:TCEHY) cracked nearly 2%.
In the electric vehicle segment, Nio Inc (NYSE:NIO) led the rally for a second consecutive day, while Xpeng Inc (NYSE:XPEV) gained 2% and Li Auto (NASDAQ:LI) shed 2%.
| Stocks | Movement (+/-) |
|---|---|
| Alibaba | 0.76% |
| Baidu | 0.49% |
| Tencent | -1.84% |
| JD.Com | 2.08% |
| Nio | 6.64% |
| Xpeng | 0.94% |
| Li Auto | -2.63% |
Shares of these Chinese companies ended higher on Wednesday on U.S. bourses.
Global Markets Recap: At press time, the benchmark Hang Seng Index was 0.28% lower, led by the fall in the index heavyweights.
Elsewhere, Japan's Nikkei 225 gained 1.40%, while Shanghai's SSE Composite Index gained 0.16%, and Singapore's SGX Nifty cracked 0.41%.
Macro Factors: The Federal Reserve raised its target fed funds rate by 0.75% on Wednesday to a new range of between 1.5% and 1.75%, its largest interest rate hike since 1994.
The Hong Kong Monetary Authority (HKMA) responded by raising its base rate by 75 basis points (bps) to 2% on Thursday in a bid to preserve the local currency peg to the dollar.
Company In News: Alibaba Group's The South China Morning Post (SCMP) named Expedia Group, Inc's (NASDAQ:EXPE) Asia head, Catherine So, as its new CEO.
Baidu is exploring selling its controlling stake in iQIYI (NASDAQ:IQ), Inc at a potential valuation of $7 billion.
Mizuho analyst Vijay Rakesh sees BEVs (battery electric vehicles) as a bright spot amid macro headwinds for China's rebounding.
