China stocks enjoy big, broad rally as Shanghai moves toward lifting COVID-lockdown measures

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Shares in the U.S. of U.S.-based companies traded broadly on Tuesday, as investors cheered on the main steps to be taken to lift the VOCID-blocking measures. 19 in Shanghai.

The stock exchange traded fund of Invesco Golden Dragon China PGJ,
+ 5.47%
it gained 4.6% in the morning, with more than three-quarters of its active components enjoying gains, to make up for the general weakness of the stock market. This put the ETF (PGJ), which consists of U.S.-listed shares of companies based in the People’s Republic of China, on its way to the highest close since May 4.

Meanwhile, the S&P 500 SPX Index
-0.08%
down 0.9% and the Nasdaq Composite Index COMP,
+ 0.30%
lost 0.8%.

The most active component of the PGJ was the electric vehicle manufacturer NIO Inc., NIO.
+ 6.19%,
which increased by 4.3%. It has shot up 18.1% amid a four-day streak of wins and shot up 36.0% since closing at a 22-month low of $ 12.71 on May 11th.

Shares of KE Holdings Inc.
+ 11.18%
shot up 10.9% after the housing transaction platform reported a broader-than-expected loss in the first quarter, but revenue exceeded forecasts, while the giant’s shares of e-commerce Alibaba Group Holding Ltd., BABA,
+ 4.69%
increased by 3.2%.

Shanghai authorities said they would take steps on Wednesday to reopen Shanghai, China’s largest city, the Associated Press reported. This fueled the optimism of investors for a rapid recovery of the country’s economy, which is the second largest in the world.

Among other more active U.S. depository (ADS) shares of Chinese-based companies, Pinduoduo Inc. PDD,
+ 7.28%
rose 5.9% to a three-month high, and shot up 38.4% amid a four-day streak of wins. Benchmark analyst Fawne Jiang reiterated the $ 85 buy rating and price target, which was up 66% from current levels, after the mobile market reported big Friday. earnings and revenue for the first quarter.

Elsewhere, iQIYI Inc. ADS IQ,
+ 2.55%
rose 1.8%, JD.com Inc. JD,
+ 6.53%
rose 5.7%, DiDi Global Inc. DIDI,
+ 1.00%
with 0.5%, Tencent Music Entertainment Group TME,
+ 2.57%
advanced 2.3% and Bilibili Inc. BILI,
+ 10.68%
increased by 8.6%.

The Golden Dragon China ETF has fallen 21.9% so far, while the S&P 500 has lost 13.6% and the Nasdaq is down 23.1%.



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