Hang Seng Tech Slides 3.4% on China Internet Tax Fears [Yahoo! Finance]
TENCENT HLDGS UNSP/ADR (TCEHY)
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Source: Yahoo! Finance
territory on Tuesday, underscoring how quickly sentiment could shift after last year's rally. The index reversed earlier gains to fall as much as 3.4% during the session, briefly extending its decline to roughly 20% from its October peak, before recovering part of the move to close down 1.1%. Shares of Kuaishou Technology ( KUASF ), Baidu ( NASDAQ:BIDU ) and Tencent ( TCEHY ) were among the largest decliners as investors reacted to renewed policy uncertainty. Warning! GuruFocus has detected 6 Warning Signs with KUASF. Is KUASF fairly valued? Test your thesis with our free DCF calculator. The selloff was sparked by concerns that authorities may raise value-added taxes on internet companies, following a recent tax increase affecting telecommunication firms. The move came alongside broader volatility in global technology markets, as doubts resurfaced over elevated valuations and reduced expectations for US interest rate cuts. Although state-backed Xinhua News Agency later dismissed
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