A 7.1% slump on Monday, the worst in more than three months, wiped out $22.7-billion in the tech giant’s market value. The losses are set to grow as Alibaba shares extend declines into Tuesday, trimming the month’s gain to about 25% – still more than double the rebound for the benchmark Hang Seng Index.
“Some investors are getting cautious after such a sharp rally, and they are waiting for data on a fundamental recovery, including earnings and business guidance,” said Banny Lam, head of research at Ceb International. “The stock will remain volatile in the near term.”
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