China stocks’ rally fizzles in US after historic two-day surge

Alibaba Group Holding Ltd dropped as much as 8%, while shares of its e-commerce rival JD.com Inc dipped 9%. Baidu Inc and Didi Global Inc each declined by as much as 8%.

THE frenzied rally in the United States-listed Chinese stocks is starting to cool off as investors debate whether Beijing’s pledge to stabilise financial markets can turn into concrete policies.

The Nasdaq Golden Dragon Index fell as much as 8.2% Thursday, snapping a historic two-day rally as investors question whether Beijing can deliver on its promises to ease a regulatory crackdown and stimulate the economy.

Alibaba Group Holding Ltd dropped as much as 8%, while shares of its e-commerce rival JD.com Inc dipped 9%. Baidu Inc and Didi Global Inc each declined by as much as 8%.