Alibaba Group Holding Ltd BABA shares are trading higher Wednesday following reports that factory activity in China expanded at its fastest pace in more than a decade last month, boosting overall economic sentiment.
What To Know: According to a South China Morning Post report, China's tech index surged more than 6% after China's statistics bureau said the official manufacturing purchasing managers’ index (PMI) increased from 50.1 to 52.6 in February.
The report indicates that any reading above the 50 level marks an expansion compared to the prior month.
"The post-Covid recovery appears to have broadened," Nomura economists said in a research note, citing robust growth in construction, new home sales and "movement of people."
The economists also reportedly predicted that China's GDP will grow 5.3% in 2023.
Alibaba operates China's online marketplaces, including Taobao (consumer-to-consumer) and Tmall (business-to-consumer).
See Also: China Takes Dig At US: 'World's Top Superpower' Fearing A 'Young Person's Favorite App'
BABA Price Action: Alibaba has a 52-week high of $125.84 and a 52-week low of $58.01.
The stock was up 5.56% at $92.67 at the time of writing, according to Benzinga Pro.
Photo: courtesy of Alibaba.
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