Alibaba Group Holding Limited BABA stock and peers are trading higher Monday amid market expectations regarding improvement in U.S.-China relations, helping ease geopolitical tensions and technology-based rivalries.
China’s finance ministry said U.S. Treasury Secretary Janet Yellen would make a four-day visit starting Thursday to discuss important financial and economic affairs in both countries, SCMP reports.
The trip will mark the second top-level meeting after Secretary of State Antony Blinken met top officials, including President Xi Jinping, in Beijing in June.
Yellen is expected to discuss the importance for the world’s two largest economies to manage their relationship responsibly, communicate directly about areas of concern, and work together to address global challenges.
Additionally, China’s central bank shared plans to step up programs to support small businesses and signaled attempts to slow the currency slump.
The People’s Bank of China appointed Pan Gongsheng, the former head of the State Administration of Foreign Exchange, as the “party secretary” of the central bank from July 1, succeeding Yi Gang.
Chinese stocks, including Alibaba, Baidu, Inc BIDU, JD.Com, Inc JD, and Bilibili Inc BILI stocks are trading higher by over 2%-4%.
Chinese ETFs, including KraneShares Trust KraneShares CSI China Internet ETF KWEB and IShares China Large-Cap ETF FXI are trading higher between 3%-4%.
Price Action: BABA shares traded 1.9% at $84.96 in the premarket on Monday.
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