After a volatile open Chinese tech stocks fell on Tuesday as trader weighed policy pledges amid slumping economy against the risk of fresh regulatory pressure on the sector.
The Hang Seng Tech Index was down 0.9% as of mid-day trading break in Hong Kong, having fluctuated between losses of as much as 4.6% and a flat reading.
The initial market slump was triggered by traders selling off Alibaba Group Holding Ltd. following a report that an individual surnamed Ma had been issued new curbs.
Global Times said the person in question works as the director of hardware research and development at an IT company, further quelling speculation over Alibaba.
People were concerned about the possibility that Jack Ma is the person in the news, said Steven Leung, executive director at UOB Kay Hian. “The whole technology sector is falling partly due to this sensitive news.”