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Market Daily Report: Bursa Malaysia Ends Nearly Flat As Construction Stocks Attract Buying

 KUALA LUMPUR, Sept 8 (Bernama) -- Bursa Malaysia closed almost flat on Tuesday as buying interest rotated away from index heavyweights towards smaller-cap construction stocks, with sentiment affected by geopolitical uncertainty, said an analyst. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 0.39 of a point to 1,714.40 from Monday’s close of 1,714.79. The benchmark index opened 1.65 points lower at 1,713.14 and moved between 1,710.44 and 1,714.50 throughout the trading session. The broader market was almost evenly balanced, with decliners leading gainers 548 to 546, while 598 counters were unchanged, 1,107 were untraded and 25 were suspended. Turnover expanded to 4.13 billion units valued at RM3.14 billion from 3.60 billion units valued at RM2.45 billion on Monday.

Chinese Tech Stocks Slide 20% From October Peak as Policy Fears Return

Simple Summary Chinese tech stocks have fallen 20% from their October high Hang Seng Tech Index dropped as much as 3.4%  in the latest session Tax hike fears and weak sentiment  are weighing on the sector Global AI valuation concerns  added to the selloff What’s Happening A key gauge of Chinese technology shares extended its decline on Tuesday, with the  Hang Seng Tech Index  slipping into  bear-market territory , down about  20% from its October peak . Losses were led by heavyweight names: Kuaishou Technology Tencent Holdings Alibaba Group Holding The index reversed earlier gains as selling accelerated through the session. Why Investors Are Selling Several factors are pressuring sentiment: Policy worries:  Investors fear Beijing may  raise value-added tax (VAT) on internet services firms , after recently targeting telecom companies. Global tech jitters:  Renewed doubts over whether  AI giants can justify heavy spending and high val...

China’s Internet Giants Tentatively Revive Consumer Lending as Beijing Eases Grip

China’s major internet finance platforms are cautiously resuming their consumer lending businesses, signaling a potential shift in Beijing’s stance after years of regulatory clampdowns that began with the halted Ant Group IPO in 2020. According to industry insiders, platforms such as  Ant Group ,  Tencent’s WeBank , and  Meituan  view Beijing’s new  consumer loan interest subsidies —introduced in August to spur domestic consumption—as a green light to expand cautiously. The move marks a turning point after regulators previously forced these fintech giants to restructure and comply with stricter capital and data-use requirements. “The regulatory landscape has become more accommodative,” said one industry source. “The economy now needs large internet finance platforms.” Regulatory Winds Shift The fintech sector appears to be entering what UBS describes as a phase of  “normalized regulatory oversight.”  UBS projects lending via online platforms to grow...

Markets Pause After Rally as Yen Strengthens on Bessent’s Policy Remarks

Asian Equities Cool After Three-Day Advance Asian stocks pulled back Thursday, with the  MSCI Asia Pacific Index  slipping 0.2% as Japanese shares dropped 1.4% under pressure from a stronger yen. The yen gained 0.5% against the US dollar after US Treasury Secretary  Scott Bessent said the  Bank of Japan (BOJ)  was lagging in tackling inflation and would likely raise interest rates. Bessent’s Push for Fed Rate Cuts Weakens the Dollar The dollar fell against all G-10 peers as Bessent also urged the  Federal Reserve  to ease policy. He argued that the Fed’s benchmark rate should be at least  1.5 percentage points lower  and suggested starting with a  50 bps cut in September . His comments follow softer US inflation data earlier this week, which reinforced market expectations for a  quarter-point cut next month . Monetary Policy Outlook Fed : The FOMC kept rates at  4.25%-4.5%  in July. Analysts expect a more dovish tone in 20...

China’s Tech Earnings Season: AI Powers Ahead, Food Delivery Drags Margins

China’s major tech players are set to kick off Q2 2025 earnings season this week, with  AI and cloud services driving growth , while  food delivery losses weigh on profitability . Earnings Calendar Tencent  – Aug 13 JD.com  – Aug 14 Xiaomi  – Aug 19 Bilibili  &  Kuaishou  – Aug 21 Alibaba, Meituan, PDD Holdings  – Dates TBD Company Highlights & Expectations 🔹 Tencent (00700.HK)  –  Gaming & AI Cloud Growth Revenue: +10–11% YoY to ~CNY 177B Adj. EBIT: +10–15% Gaming boost : Project Delta now Tencent’s 2nd-biggest domestic game (20M DAUs); Valorant mobile launching Aug 19 (CNY 7B annualized revenue est.). Advertising & cloud segments seeing AI-driven momentum, with cloud expected to return to double-digit growth. 🔹 JD.com (JD.US)  –  Retail Profits Up, Food Delivery Losses Deepen Revenue: +15% to CNY 335B EPS: -57% YoY to CNY 3.48 Food delivery unit loss: >CNY 10B in Q2, likely to persist into Q3. Retail...

Tencent’s AI Chatbot Surpasses DeepSeek as China’s Most Popular iPhone App

Key Developments: Tencent’s Yuanbao AI chatbot surpasses DeepSeek  as the  most downloaded free iPhone app in China . AI race heats up  as  three of the top five most popular apps  in China are now AI chatbots. Tencent integrates DeepSeek’s R1 model  into multiple platforms, including  WeChat search and gaming AI assistants . Alibaba ramps up AI investment , committing  US$53 billion  to compete with Tencent and DeepSeek. Monetization remains unclear , as AI chatbots are currently free and widely available in  open-source models . Tencent’s Yuanbao AI Overtakes DeepSeek Tencent Holdings Ltd.  has officially overtaken  DeepSeek  in China's rapidly expanding AI chatbot market, with its  Yuanbao AI chatbot  now the  most downloaded iPhone app  in the country. Tencent’s  strategic AI integration —embedding  Hunyuan AI tech  and DeepSeek’s  R1 reasoning model  into multiple platforms...

Tencent Unveils Hunyuan Turbo S AI Model, Claims Faster Responses Than DeepSeek-R1

Tencent Enters AI Speed Race Tencent has launched its latest AI model, Hunyuan Turbo S , claiming it can respond to queries  faster than DeepSeek’s R1 —one of the most widely adopted AI models globally. The tech giant says  Turbo S can generate answers in under a second , setting it apart from models like  DeepSeek R1 and Hunyuan T1 , which require more processing time before responding. Performance and Competition Turbo S reportedly matches DeepSeek-V3  in fields like  knowledge, mathematics, and reasoning . DeepSeek-V3 has already surpassed OpenAI’s ChatGPT in app store downloads , adding pressure on Tencent and other Chinese tech firms to accelerate AI advancements. DeepSeek did not immediately respond  to Tencent’s performance claims. China’s AI Arms Race Intensifies DeepSeek’s rapid global success, particularly  its adoption in Silicon Valley , has  forced Chinese tech giants into a race to enhance their AI models . Last month, Alibaba launch...

Tencent and Honor Join Forces to Redefine AI and Cloud in China

Tencent Holdings Ltd.  and  Honor Device Co.  have announced a  long-term strategic collaboration  focusing on  cloud infrastructure  and  artificial intelligence (AI)  development. The partnership strengthens Tencent’s position in cloud services while bolstering Honor’s technological capabilities as it expands its corporate and public footprint. Key Highlights of the Partnership 1. Cloud and AI Development Tencent will provide  Tencent Cloud infrastructure  to support Honor’s online services. The collaboration includes  big data analytics ,  search tools , and the joint creation of a  coding assistant  to improve software development efficiency for Honor’s engineers. 2. Honor’s Growth Plans Corporate Partnerships : Honor, a  Huawei Technologies Co. spin-off , has recently sold stakes to  China Mobile Ltd.  and  China Telecom Corp.  as it moves closer to a  public listing . As one of...

China Tech Stocks Eye Earnings Boost Amid Macro and Geopolitical Pressures

With recent declines in Chinese tech stocks due to weaker domestic economic outlooks and rising geopolitical risk , investors are watching this week's earnings reports closely for signs of resilience. Tencent Holdings and Alibaba Group will report their financials, expected to reveal how cost-cutting and operational adjustments are helping them navigate both the sluggish local economy and potential higher tariffs from Donald Trump ’s administration. The Hang Seng Tech Index has fallen 17% from its recent high, while the Nasdaq Golden Dragon China Index dropped 18%. Despite this, valuation levels remain attractive, with investment managers seeing potential for recovery as Chinese policies aim to improve economic conditions. Earnings projections for the tech sector have hit record highs, though they’ve softened slightly for e-commerce players like Alibaba and JD.com . Tencent, leading in market cap, is scheduled to report Wednesday. Its stock buyback plan of HK$100 billion ha...