Chinese Tech Stocks Face Mounting Pressure as Valuation Concerns Spread

Asia’s stock market rally is showing signs of strain as technology shares worldwide face increasing skepticism about their valuations. The downturn has hit China’s e-commerce leaders with particular force, raising questions about whether current weakness represents a temporary correction or the beginning of a more challenging period for former market darlings like JD.com.

Concerns about stretched valuations in the technology sector, which recently halted rallies on Wall Street, have now reached Asian markets. The Hang Seng Index recorded losses for five consecutive trading days through Friday, heading toward its most significant weekly decline in ten weeks. The technology segment demonstrated even more pronounced weakness, with the Hang Seng Tech Index dropping more than two percent. Operating within... Read more...