BEKE - Why Shares of KE Holdings TAL Education Group and New Oriental Education Are Falling
Many Chinese stocks trading on U.S. stock exchanges took a hit Monday, as regulators in China imposed fines on two Chinese companies and as fears over COVID-19 resurfaced in several Chinese cities.
Shares of the Chinese real estate platform KE Holdings (NYSE: BEKE) traded more than 10% down as of 11:47 a.m. ET today. Shares of New Oriental Education & Technology Group (NYSE: EDU) were down nearly 9%, and shares of TAL Education Group (NYSE: TAL) dropped roughly 10%.
Last year, the Chinese government was very restrictive on Chinese tech stocks, imposing large fines, launching investigations, and even removing some apps from domestic app stores. In recent months, the Chinese government has started to ease its stance and be more supportive of the sector in an attempt to boost economic growth in the country.
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Why Shares of KE Holdings, TAL Education Group, and New Oriental Education Are Falling