Alibaba-Linked Stocks Surge in Hong Kong—But Alibaba Itself Remains Weak

TradingKey
Updated
Mitrade
coverImg
Source: DepositPhotos

TkradingKey - During midday trading, rumors spread that Ant Group plans to apply for stablecoin licenses in Hong Kong and Singapore. In response, Ant Group stated it will submit applications promptly once the relevant regulatory channels are open.

In reaction, shares of Alibaba-affiliated stocks surged in afternoon trading. Yunfeng Financial (00376.HK) jumped over 60%, Lion Rock Holdings (02562.HK) rose nearly 16%, Yau Lee Securities (01428.HK) gained more than 11%, and Alibaba Health (00241.HK) climbed over 3%. In contrast, Alibaba (09988.HK) remained under pressure, falling more than 3.2% on the day.

altText

【Alibaba-W Intraday Chart, Source: TradingView】

On the 11th, a widely circulated 10,000-word resignation letter from a former Alibaba employee sparked extensive discussion across Chinese social media. The essay provided a deep analysis of the challenges currently facing the company and received a personal reply from founder Jack Ma, once again highlighting the serious difficulties Alibaba is encountering during its transformation phase.

Jack Ma responded positively to the letter, stating that Alibaba’s development involves many necessary paths and processes, and that the company is undergoing change. His reply was seen as an indirect acknowledgment from senior leadership regarding internal concerns.

The former head of product and R&D at DingTalk pointed out in the article that Alibaba’s past success stemmed from favorable market opportunities and Jack Ma’s strategic vision. However, since 2017, signs of fatigue have gradually emerged. He argued that slowing growth in the broader internet sector, failed integration of most external acquisitions, and a lack of successful internal innovation have been the main reasons behind Alibaba’s loss of high-speed growth momentum.

If approved, Ant Group’s application for stablecoin licenses could promote blockchain technology adoption. Although Alibaba itself has not directly engaged with Bitcoin or other cryptocurrencies, its affiliated entities’ exploration into digital currencies may indirectly influence market expectations.

* The content presented above, whether from a third party or not, is considered as general advice only.  This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.

goTop
quote
Do you find this article useful?
Related Articles
placeholder
Tesla’s market share in China dropped to 4%Tesla is bleeding market share in China while Elon Musk’s influence there is evaporating.
Author  Cryptopolitan
21 hours ago
Tesla is bleeding market share in China while Elon Musk’s influence there is evaporating.
placeholder
Jeff Bezos sold nearly 3 million Amazon shares for $665.8 million in early JulyJeff Bezos has sold nearly three million shares of Amazon in the first two days of July, offloading a total of $665.8 million.
Author  Cryptopolitan
Yesterday 03: 43
Jeff Bezos has sold nearly three million shares of Amazon in the first two days of July, offloading a total of $665.8 million.
placeholder
Global markets aren’t buying Trump’s tariff threats this timeGlobal stocks are breaking records in 2025 while Donald Trump keeps yelling tariffs from the White House.
Author  Cryptopolitan
Yesterday 02: 57
Global stocks are breaking records in 2025 while Donald Trump keeps yelling tariffs from the White House.
placeholder
Dow Jones Futures attempt to recover losses as Trump delays tariff implementationDow Jones Futures move sideways ahead of the opening on Tuesday, trading around 44,680, up by 0.01%.
Author  FXStreet
Jul 08, Tue
Dow Jones Futures move sideways ahead of the opening on Tuesday, trading around 44,680, up by 0.01%.
placeholder
Citigroup Revs Up the Engine: Raises NVIDIA Target to $190, Eyes $4 Trillion MarketCitigroup has recently raised its price target for NVIDIA (NVIDIA.US) from its previous level to $190 per share, suggesting roughly 15% upside from Thursday’s closing price.
Author  TradingKey
Jul 08, Tue
Citigroup has recently raised its price target for NVIDIA (NVIDIA.US) from its previous level to $190 per share, suggesting roughly 15% upside from Thursday’s closing price.