Alibaba, JD among surging Chinese stocks after Beijing offers stimulus to economy
Chinese stocks, including Alibaba and JD.com, surged following Beijing's announcement of economic stimulus measures. Alibaba's shares rose by 10%, JD.com by 14%, and other companies like Baidu and Bilibili also saw significant gains. The stimulus aims to support the struggling property sector and provide financial assistance to residents and unemployed graduates, alleviating concerns over high youth unemployment and property sector debt.
Alibaba (NYSE:BABA) and JD.com (NASDAQ:JD) were among Chinese stocks that rose on Thursday and Friday after the Beijing announced measures to boost the world's second-largest economy.
Shares of Alibaba jumped +10%, JD.com +14%, Chinese internet search giant Baidu (NASDAQ:BIDU) +9%, online entertainment platform Bilibili (NASDAQ:BILI) +15%, and PDD (PDD), which operates shopping platform Pinduoduo in China, nearly +14%, were among stocks that gained on Thursday on the U.S. stock exchanges. Meanwhile, on Friday, in Hong Kong, JD.com and Bilibili closed nearly +10% higher each, Baidu and Alibaba around +5% each, while shopping platform Meituan rose around +8%.
Beijing surprised many with the range of its stimulus measures, which included offering help to the troubled property sector, cash to residents facing difficulty and additional social security benefits for graduates who are unemployed, Bloomberg News reported.
The announcements helped ease concerns related to the debt-laden property sector and high unemployment numbers among the youth, boosting consumer and internet stocks.