Alibaba, JD Surge Over 8%: Hang Seng Shoots Up On Tech Rally

Hong Kong stocks opened in the green on Thursday, with the benchmark Hang Seng gaining 2.8% in morning trade. The rally was led by tech stocks, with Alibaba and JD.com gaining over 8% and 9%, respectively. Shares of Meituan and Tencent Holdings gained over 4%.

Macro News: U.S. Secretary of State Antony Blinken said on Wednesday that China has decided the status quo of Taiwan's situation is no longer acceptable and has started ratcheting up pressure on the island, reported Reuters.

Profits at China's industrial firms declined at a faster pace in the January-September period dragged by COVID-19 curbs and a worsening property crisis, reported Reuters. Profits declined 2.3% in the first nine months of 2022 compared with a year earlier, the report said.

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Company News: Foxconn Technology Co Ltd FXCOF has confirmed the world’s largest iPhone factory in Zhengzhou is handling a small COVID-19 outbreak but said production is “relatively stable,” according to the South China Morning Post.

Entry-level Tesla Inc’s TSLA Model Y does not offer free silver paint in China any longer, reported CnEVPost.

Top Gainers and Losers: JD.com and Alibaba are the top gainers among Hang Seng constituents. CSPC Pharmaceutical Group Limited and CITIC Limited were the only two losers, having shed over 2% and 0.25% respectively.

Global News: U.S. futures traded in the green on Thursday morning Asia session. Dow Jones futures were up 0.36%, while the Nasdaq futures gained 0.21%. The S&P 500 futures were trading higher by 0.27%.

Elsewhere in Asia-Pacific, Australia’s ASX 200 was up 0.48%. Japan’s Nikkei 225 lost 0.21% while China’s Shanghai Composite index rose 0.39%. South Korea’s Kospi gained 1.35%.

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