Alibaba’s stock soars as as tech sector confidence rises in Asia

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Alibaba’s stock soars as as tech sector confidence rises in Asia
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Asian shares rise sharply and the US dollar weakens amid easing banking sector concerns

Singapore — Asian shares rose sharply on Wednesday, while the dollar was on the defensive as easing concerns over the banking sector revived risk appetite, and Alibaba’s stock soared on the internet behemoth’s plans to split into six units.

The news lifted investor confidence in the wider Chinese tech sector, with shares of Alibaba’s e-commerce rival, JD.com, 7% higher, and gaming giant Tencent jumping 5%.After weeks of volatility in the market after the unexpected failure of two US banks and the rescue of Credit Suisse in Europe, investor nerves were calmed this week by the sale of assets in collapsed lender Silicon Valley Bank and no new signs of further stresses in the banking system.

Michael Barr, the Fed’s vice chair for supervision, criticised SVB for going months without a chief risk officer and how it modelled interest rate risk. Worries over inflation have prompted investors to recalculate what they expect the Fed to do in its next meeting in May.

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