China Tech Rally Fizzles After Report on Tighter IPO Rules
- Hang Seng Tech Index reversed course to drop in afternoon
- Gauge still notches its best weekly advance in seven months
This article is for subscribers only.
A rally in Chinese technology stocks evaporated in the afternoon after Dow Jones reported that new regulations will be proposed to block companies with large amounts of sensitive consumer data from floating shares in the U.S.
The Hang Seng Tech Index closed 0.2% lower in Hong Kong after rising as much as 2% in the morning. The new rules target companies seeking foreign listing via units incorporated outside the country, Dow Jones reported, citing people familiar with the matter.