Chinese Tech Stocks Surge Amid Xi Jinping's Meeting with Business Leaders

China and Hong Kong tech stocks surged after President Xi Jinping's meeting with industry leaders, including Alibaba's Jack Ma, suggesting a policy shift following years of regulatory crackdowns. The Hang Seng Tech Index and key stocks like Alibaba, Tencent, and Xiaomi jumped significantly, signaling renewed optimism and investment.

Stocks in China and Hong Kong experienced a notable rise on Tuesday, primarily led by tech shares following a pivotal meeting between Chinese President Xi Jinping and business leaders, including Alibaba's Jack Ma. The discussions have sparked anticipation for policy changes that could benefit the technology sector, long impacted by regulatory crackdowns.

The Hang Seng Tech Index saw an impressive 3% climb, marking a three-year high, while key players such as Alibaba soared 4.3%, nearing a multi-year peak. Tencent and Xiaomi also reported substantial gains, reflecting investor optimism after their executives participated in the meeting with Xi.

President Xi emphasized the importance of confidence in China's economic model and its capacity to foster wealth. Analysts suggest this could signal an easing of regulatory pressure. The sentiments echoed in onshore markets too, with China's major indices, CSI300 and Shanghai Composite, recording gains to reach year's highs.

(With inputs from agencies.)