Markets were in the red at the close of trading on Monday, while Chinese stocks moved higher despite COVID lockdowns in the country.
Jack Ma, the Alibaba founder and once the richest business leader in China, has been living in central Tokyo for nearly six months, amid Beijing’s ongoing crackdown on the country’s technology sector and its most powerful businessmen. Ma’s months-long stay in Japan with his family has included stints in hot spring and ski resorts in the countryside outside Tokyo and regular trips to the US and Israel, according to people with direct knowledge of his whereabouts. Ma has largely disappeared from public view since he criticised Chinese regulators two years ago, accusing the state banks of having a “pawnshop mentality” and calling for bold new players that can extend credit to the collateral poor.
It's been challenging to hold Alibaba's (NYSE: BABA)stock over the last two years as it lost more than 70% of its market value. As the stock price fell, investors questioned whether Alibaba had reached its prime and was bound to decline further. While it's still early, Alibaba's latest earnings result justifies my earlier decision.