Yahoo Finance's Jared Blikre breaks down how Asia stocks are responding to news that China is easing COVID restrictions in Beijing.
Pinduoduo's stock surged 13% on Nov. 28 after the Chinese e-commerce company's third-quarter numbers easily cleared analysts' expectations. Bilibili's stock soared 22% on Nov. 29 after the gaming, digital media, and e-commerce company's Q3 earnings also comforatably beat analysts' estimates. Is it safe to buy either of these Chinese tech stocks right now as their home market grapples with slowing economic growth, COVID-19 lockdowns, social unrest, and unpredictable crackdowns and regulations?
While there was some company-specific news, it appears the broader economic and regulatory developments ultimately drove the stocks higher. Today marked the second day of gains after Chinese officials responded to widespread demonstrations in China to protest lockdowns resulting from the government's zero-COVID policy. In a press conference on Tuesday, government health authorities announced steps to increase the vaccination rate among China's elderly population.