Alibaba, Xpeng In Red Even As Hang Seng Drifts Higher Led By Other Tech Stocks

Shares of major Chinese tech companies traded mostly higher in Hong Kong on Monday, leading the benchmark Hang Seng Index higher.

What’s Moving: Shares of Tencent Holdings Inc. (OTC: TCEHY), Baidu Inc. (NASDAQ: BIDU), JD.Com Inc. (NASDAQ: JD) and Li Auto Inc. (NASDAQ: LI) are higher in a range of 1% to almost 3%, while Alibaba Group Holding Limited (NYSE: BABA) and Xpeng Inc. (NYSE: XPEV) traded lower by about 0.3% and 4.7%, respectively.

Hong Kong’s benchmark Hang Seng Index opened higher on Monday and was up 0.6% at the time of writing. The index closed almost 1.8% higher on Friday. 

See Also: How To Buy Alibaba (BABA) Stock

Why Is It Moving? The Hang Seng Index rose for a third straight day as investors continued to pile into beaten-down tech stocks.

Hong Kong Financial Secretary Paul Chan has promised to consider providing appropriate support to help businesses deal with the impact of the fifth wave of coronavirus infections in the financial hub.

China Life Insurance Co. Ltd. (NYSE: LFC) fell more than 2% after the company said Chairman Wang Bin was placed under disciplinary and supervisory investigation by the National Supervision Commission — China’s top anti-graft watchdog — for “suspected serious violations of discipline and law.”

Meanwhile, shares of Chinese property developers including China Evergrande Group (OTC: EGRNY) fell in Hong Kong on Monday.

Shares of Modern Land (China) Co. tumbled over 37% as the stock resumed trading on Monday after a three-month halt. The property developer said in a regulatory filing it has received notices from certain noteholders demanding early payment of its senior notes after having defaulted on its offshore debt last year.

Tesla Inc. (NASDAQ: TSLA) CEO Elon Musk has named the new Model S along with the Plaid X as the electric vehicle maker’s “best-ever car.” The company is planning to increase its workforce at Gigafactory Shanghai to 19,000.

Shares of Chinese companies closed mostly higher in U.S. trading on Friday even as the major averages in the U.S. ended lower following the release of the Labor Department's closely watched monthly jobs report.

Alibaba’s shares closed 2.5% higher, while Nio’s shares ended flat.