Shares of Chinese internet giant NetEase (NTES-S) plummeted 5.61% on Thursday, November 8, 2024, amid a broad sell-off in Hong Kong's technology sector. The decline came despite the Hong Kong Monetary Authority's move to cut its key interest rate to boost the economy.
The tech-heavy Hang Seng Index fell 1.1%, with major tech companies like Tencent, Meituan, and Alibaba also experiencing significant losses. NetEase's plunge was part of a wider sell-off in Chinese tech stocks, as investors grew concerned about the sector's growth prospects amid a slowing Chinese economy.
While China announced a 6 trillion yuan ($839 billion) program to refinance local government debt and support economic growth, the market appeared unimpressed. Investors remained cautious about the potential impact of Donald Trump's reelection as U.S. President on trade relations between the two countries, further weighing on sentiment towards Chinese tech stocks.
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