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How China Consumer Stocks Are Getting Crushed by Trade War Pain
Description
Chinese tech and consumer stocks like Alibaba (BABA), JD.com, and Baidu (BIDU) are getting hammered this week even as broader markets wobble. The iShares China Large-Cap ETF (FXI) is down over 5% in five days, and the KraneShares CSI China Internet ETF (KWEB) has lost more than 6%. Lucas and Luna drill into what's driving the selloff: the escalating trade war with the US, a weakening yuan pushing 6.77 per dollar, and fears of a consumer slowdown in China. They unpack why e-commerce giant Alibaba is down 11% in a week, why discount retailer PDD Holdings is sliding too, and how the retaliatory tariffs from Beijing are hitting the very companies that depend on cross-border trade. Plus, a look at China's trade surplus narrowing and what that means for its currency. A focused episode for anyone wondering if Chinese stocks are a bargain or a value trap.