Beijing: Financial results from Tencent Holdings Ltd and Alibaba Group Holding Ltd will likely test the strength of a US$44bil rally in China’s technology sector this month. The momentum got another boost this month amid cooling bets on US interest-rate hikes, lifting the aggregate market value of companies in the Hang Seng Tech Index by US$44bil. Sustained earnings growth momentum and a stabilised regulatory environment with new gaming licences approval are also tailwinds, he added. Alibaba, whose earnings are due today, will likely report 8.2% in revenue growth for the September quarter after analysts lowered their estimates over the past month. Rival JD.com is expected to report sales growth just above 1% for the period.

Source: The Star November 16, 2023 03:32 UTC