Shares of Alibaba Group Holding Limited (NYSE: BABA), JD.Com Inc. (NASDAQ: JD) and Tencent Holdings Inc. (OTC: TCEHY) fell in Hong Kong on Wednesday, while Xpeng Inc. (NYSE: XPEV), Li Auto Inc. (NASDAQ: LI) and Baidu Inc. (NASDAQ: BIDU) traded higher.
What’s Moving: Chinese e-commerce giant Alibaba’s shares have lost 1.3% to HKD 131.30 in Hong Kong, while peer JD.Com’s shares have lost 1.2% to HKD 350.40 and tech conglomerate Tencent’s shares have fallen 1.2% to HKD 475.
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Meanwhile, technology company Baidu’s shares traded 1.5% higher at HKD 146.80.
Electric vehicle maker Xpeng’s shares have surged 9.7% to HKD 207.60 and Li Auto’s shares have risen 1.6% to HKD 124.10.
Xpeng reported third-quarter revenues that beat analysts’ estimates and also issued upbeat delivery as well as revenue forecasts for the fourth quarter.
Hong Kong’s benchmark Hang Seng Index drifted lower after a positive start on Wednesday and is almost flat at the time of writing. The index closed 1.2% lower on Tuesday.
Why Is It Moving? The Hang Seng Index drifted lower as weak earnings results from Chinese tech giants such as Alibaba and Tencent have set off a new bout of selling.
Xiaomi’s shares have tumbled 7.3% after the smartphone maker’s third-quarter sales matched consensus estimates, but marked the slowest growth since the second quarter of 2020, as per a report by Bloomberg.
Food-delivery platform operator Meituan is among the major companies scheduled to report earnings results this week.
Lingering worries about China’s troubled property sector also weighed on the market. Some bondholders of Chinese developer Kaisa Group have tapped investment bank Moelis & Co. to advise them after they failed to receive coupon payments this month, Reuters reported.
Shares of Chinese companies closed mostly higher in U.S. trading on Tuesday even as the major averages in the U.S. closed mixed for the fourth straight session amid a continued increase in Treasury yields.
Alibaba’s shares closed almost 2.2% lower, while Nio’s shares ended higher by 1.3%.
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