Why Chinese Tech Stocks Continue to Rally
Shares of Chinese tech leaders Tencent (OTC: TCEHY), JD.com (NASDAQ: JD), and Bilibili (NASDAQ: BILI) rallied again today, up 4%, 3%, and 9.3%, respectively, as of 12:04 p.m. ET.
Chinese stocks have been on a tear ever since last week's big stimulus announcements. But China stocks continued to rally this week, as each new day seemingly brings news of more stimulus measures, and Chinese stocks remain much cheaper than other markets around the world.
Chinese tech stocks have rallied ever since the Chinese central bank lowered a slew of interest rate benchmarks, lowered capital requirements for banks, and lowered down payment requirements for Chinese homebuyers early last week. Then later in the week, Chinese Politburo officials indicated more fiscal stimulus would be coming directly to struggling households.
Source Fool.com
