Alibaba, Tencent, and GDS Holdings Fell as Trump Ratchets Up Tariff Talk
Chinese stocks struggled today after President Donald Trump said additional tariffs on Chinese imports are slated to go into effect Tuesday. Hong Kong's Hang Seng Index fell 3.3%, suffering one of its worst days since mid October.Shares of Alibaba (NYSE: BABA) traded 2.7% lower as of 11:30 a.m. ET, while shares of Tencent (OTC: TCEHY) traded 2.4% lower. Shares of GDS Holdings (NASDAQ: GDS) initially slid almost 8% in pre-market trading but had recouped most of those losses by 11: 30.Investors who thought tariffs would be more of a negotiating tactic will see their thesis put to the test next week after Trump said that 25% tariffs on Mexico and Canada that he previously paused will go into effect Tuesday. Meanwhile, he also said there would be an additional 10% tariff on Chinese imports. While China's response to Trump's initial 10% tariffs was more muted, officials didn't hold back this time.Continue reading
Chinese stocks struggled today after President Donald Trump said additional tariffs on Chinese imports are slated to go into effect Tuesday. Hong Kong's Hang Seng Index fell 3.3%, suffering one of its worst days since mid October.
Shares of Alibaba (NYSE: BABA) traded 2.7% lower as of 11:30 a.m. ET, while shares of Tencent (OTC: TCEHY) traded 2.4% lower. Shares of GDS Holdings (NASDAQ: GDS) initially slid almost 8% in pre-market trading but had recouped most of those losses by 11: 30.
Investors who thought tariffs would be more of a negotiating tactic will see their thesis put to the test next week after Trump said that 25% tariffs on Mexico and Canada that he previously paused will go into effect Tuesday. Meanwhile, he also said there would be an additional 10% tariff on Chinese imports. While China's response to Trump's initial 10% tariffs was more muted, officials didn't hold back this time.
