China ADRs fall on diminished stimulus expectations

Bilibili

08/11/2024 11:01

** Chinese companies' US-listed shares fall premarket after
mainland peers declined on Friday but booked their best week in
a month, as investors lowered expectations for Beijing's fiscal
stimulus package and took profit ahead of the announcement  .SS 
    ** China, after market close, announced fresh round of
fiscal support for its sputtering economy with a package that
eases debt repayment strains for local governments
    ** Beijing will let local governments allocate 10 trillion
yuan ($1.40 trillion) towards reducing off-balance sheet, or
"hidden" debt
    ** The ceiling for local governments to issue special bonds
will be raised to 35.52 trillion yuan from 29.52 trillion
    ** Concerns about China's long-term outlook have been
compounded by the U.S. election win by Donald Trump, who has
threatened tariffs in excess of 60% on all Chinese goods
    ** Shanghai Composite  .SSEC  closed down 0.5% and blue-chip
CSI 300  .CSI300  fell 1%
    ** Alibaba  BABA.N , JD.com  JD.O  and PDD Holdings  PDD.O  
down 2.7%-4%
    ** EV firms Li Auto  LI.O  falls 4.9%, Nio  NIO.N  down 2.8%
and Xpeng  XPEV.N  slips 2.1%
    ** Gaming stock Bilibili  BILI.O  slides 4.2%, search engine
giant Baidu  BIDU.O  down 2.3%, video platform iQIYI  IQ.O 
falls 2.8%
    ** Tencent Music  TME.N  down 2.3% and Weibo  WB.O  slips
2.6%
    ** Chinese ETFs such as iShares MSCI China ETF  MCHI.O  down
4.5%, KraneShares CSI China ETF  KWEB.P  slides 4.8% and iShares
China Large-Cap ETF  FXI.P  down 4.5%

 (Reporting by Sukriti Gupta in Bengaluru)
 ((Sukriti.Gupta@thomsonreuters.com;))