- NYSE:BABA fell by 0.44% on Wednesday despite opening the session in the green.
- AliBaba is criticized by China’s top anti-corruption agency for the recent scandal.
- The global eCommerce industry heats up as Amazon hits back at AliBaba.
NYSE:BABA looked like it was going to ride higher on Wednesday, but general tech weakness and a pull back by Chinese stocks left AliBaba in the red by the closing bell. Shares of BABA fell by 0.44% on Wednesday, closing the trading session at $194.86. It was another day where cyclical and value stocks outperformed growth and tech sectors, as the U.S. infrastructure bill takes another step towards being finalized. AliBaba has been mired in controversy as of late, and a less than stellar second quarter earnings report has also soured investors.
Stay up to speed with hot stocks' news!
One of those controversies is the sexual assault allegations that came out yesterday against a senior manager with the company. Today, China’s top anti-corruption agency, China’s Central Commission for Discipline Inspection blasted AliBaba for its toxic drinking behavior. The agency called the behavior ‘disgusting’. The allegations have stirred up backlash within the country about the treatment of female employees as well as the unspoken rules of coerced drinking. AliBaba now faces the wrath of the #MeToo movement, as well as the ongoing investigations by other agencies of the Chinese Government. Needless to say, the company has seen better days.
BABA share price
On the business side of things, AliBaba’s challenge to Amazon (NASDAQ:AMZN) for global eCOmmerce supremacy was answered today. In July, AliBaba announced it would be introducing global 72 hour delivery from its eCommerce platforms. Today, Amazon announced the opening of its Amazon Air Hub operations at the Cincinnati/Northern Kentucky International Airport. Amazon opened a new 800,000 square foot fulfillment center, as well as announced the plans for a 630,000 square foot one in Florida opening in 2022, that will dramatically increase Amazon’s last-mile delivery network.
Like this article? Help us with some feedback by answering this survey:
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD holds gains above 1.0700, as key US data loom
EUR/USD holds gains above 1.0700 in the European session on Thursday. Renewed US Dollar weakness offsets the risk-off market environment, supporting the pair ahead of the key US GDP and PCE inflation data.
GBP/USD extends recovery above 1.2500, awaits US GDP data
GBP/USD is catching a fresh bid wave, rising above 1.2500 in European trading on Thursday. The US Dollar resumes its corrective downside, as traders resort to repositioning ahead of the high-impact US advance GDP data for the first quarter.
Gold price edges higher amid weaker USD and softer risk tone, focus remains on US GDP
Gold price (XAU/USD) attracts some dip-buying in the vicinity of the $2,300 mark on Thursday and for now, seems to have snapped a three-day losing streak, though the upside potential seems limited.
XRP extends its decline, crypto experts comment on Ripple stablecoin and benefits for XRP Ledger
Ripple extends decline to $0.52 on Thursday, wipes out weekly gains. Crypto expert asks Ripple CTO how the stablecoin will benefit the XRP Ledger and native token XRP.
US Q1 GDP Preview: Economic growth set to remain firm in, albeit easing from Q4
The United States Gross Domestic Product (GDP) is seen expanding at an annualized rate of 2.5% in Q1. The current resilience of the US economy bolsters the case for a soft landing.