China Tech Stocks Slump as Nation Issues Draft Competition Rules
- Hang Seng Tech Index falls for a fifth consecutive day
- Draft rules cover intellectual property, algorithms and others
Photographer: Costfoto/Barcroft Media/Getty Images
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China’s latest moves to tighten its grip on internet giants helped trigger a fifth consecutive day of selling in the nation’s bellwether technology stocks.
The Hang Seng Tech Index dropped 3.1%, after the market regulator issued draft rules banning unfair competition among online platform operators. Alibaba Group Holding Ltd. fell nearly 5% and was the biggest point-drag on the benchmark Hang Seng Index, which closed 1.7% lower. Losses accelerated in afternoon trade as China issued separate rules to protect key network facilities and information systems, effective next month.