Chinese stocks rebounded as authorities reportedly mull rescue efforts for its long-ailing financial markets. Hong Kong's Hang Seng surged, while Chinese stocks that trade in the U.S., such as Alibaba, JD.com, Nio, XPeng and BYD rose solidly to strongly.
Chinese policymakers are looking to tap some 2 trillion yuan ($278 billion), mostly via Chinese state-owned enterprises, to buy shares onshore via the Hong Kong exchange link, Bloomberg report, citing sources. They also are planning to use some 300 billion yuan in local funds to invest in onshore shares.
That comes after Premier Li Qiang urged "forceful" steps to buoy stock markets.
Authorities, also mulling other options, could announce at least some initiatives as soon as this week.
Separately, China's gaming regulator removed from its site proposed draft rules for the online gaming industry. That's good news for Tencent and NetEase specifically, but also eases fears of a broader crackdown.
Hong Kong's Hang Seng index, which has hit multiyear lows, jumped 2.6%.
Alibaba stock soared 7.4% in Tuesday morning trade with JD.com up 6.1%. Chinese EV maker Nio leapt 13% and XPeng 11%. BYD stock rose 3%.
NTES stock jumped 8%. Tencent gained 5.3%.
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