The Latest Breaking News from BABA

Markets reflect the economic and geopolitical landscapes, and while China’s economy may be recovering, tensions between Washington, DC, and Beijing have caused investors to shun Chinese stocks. The FXI is an ETF product that holds Chinese large-cap stocks that trade on the U.S. and international equity exchanges.

Alibaba got good news that China might reduce a $1 billion fine on the company's fintech arm, Ant Group. BABA stock rose then fell.

June S&P 500 futures (ESM23) are up +0.91%, and June Nasdaq 100 E-Mini futures (NQM23) are up +0.93% this morning after three major U.S. benchmark indices finished the regular session lower, while U.S. Treasury yields climbed as market participants mulled the likely Fed’s interest rate trajectory amid easing bank jitters.

Tech and communication services stocks were two of the worst performers today as Treasury yields rose.

The Dow Jones fell as Alibaba soared. Three stocks, including Coinbase, struggled despite Cathie Wood buying shares. Micron earnings missed.

Today’s announcement by Alibaba Group Holding (BABA ) that it will split its $220 billion business into six main units encompassing e-commerce, media, and the cloud is another factor that may extend the recent rally in Chinese technology stocks. In addition, mostly better-than-expected earnings results from China’s mega-cap technology stocks...

In a groundbreaking move, Alibaba will split into six different companies that will operate independently and are free to raise funds.

Tech led the stock market lower while Warren Buffett booked a quick $450 million profit.

While it could be a good idea to invest in resurgent China that is prioritizing economic growth, the prospects of Alibaba (BABA) don’t seem certain enough. Hence, growing Chinese stocks Hello Group (MOMO), China Automotive Systems (CAAS), and Tarena International (TEDU) could be better bets instead. Continue reading….