Beijing tutoring crackdown slams U.S.-listed Chinese stocks

A broad crackdown on China's massive internet sector has already rattled investors. Beijing launched a data-related cybersecurity investigation into ride-hailing giant Didi Global Inc

just two days after it raised $4.4 billion in a New York initial public offering. Didi has fallen over 40% from its June 30 IPO price, while Baidu has tumbled 50% from its February record high and Alibaba is down 35% since October. "A lot of the fast-money types had recently been trying to catch a falling knife, and some of these stocks started to look OK. But today looks like a complete capitulation, where guys can’t stomach the pain of regulatory uncertainty. People have just given up," said Joel Kulina, a senior trader at Wedbush Securities who specializes in technology stocks.

The policy change threatens to decimate China's $120 billion private tutoring industry and imperils the listing ambitions of numerous venture capital-backed education firms, including Alibaba-backed Zuoyebang, and online education platforms Yuanfudao and Classin, both backed by Tencent.Reporting by Noel Randewich in Oakland, Calif. Editing by Matthew LewisSubscribe for our daily curated newsletter to receive the latest exclusive Reuters coverage delivered to your inbox.

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Australia stocks set to trade lower as investors watch China tech shares in Hong KongInvestors will watch Chinese tech shares in Hong Kong after Bloomberg News reported that Beijing is considering harsh penalties on ride-hailing giant Didi. Y'all gon talk about all the DarkPoolAbuse that's been going on? And Delta now locking down the majority of Australia’s population isn’t good for the economy too! That might be important. 71% of $AMC stock traded over the dark pool (Out of Public View) today. DarkPoolAbuse
Source: CNBC - 🏆 12. / 72 Read more »

Oil prices fall after unexpected rise in U.S. crude oil stocksOil prices fell on Thursday after an unexpected rise in U.S. crude oil inventories and as rising COVID-19 infections threaten demand, but prices held on to most of their gains from the previous session on expectations that supplies will remain tight through year-end. yeah, maybe 2 cents. still up 33% or more since trump left office DURING A PANDEMIC Nobody wants oil anymore this is terrible news
Source: Reuters - 🏆 2. / 97 Read more »