Li Auto (02015.HK) stock surged 8.48% during Monday's intraday trading session, outperforming the broader market amid positive developments in US-China trade relations. The significant jump came as investors reacted to news of a major agreement between the United States and China to reduce tariffs for a 90-day period.
The tariff reduction agreement has sparked a rally across Chinese stocks, particularly benefiting the auto sector. Other Chinese automakers and tech companies also saw substantial gains, with XPeng and NIO rising by 4%, while Geely Auto and EV Dynamics climbed 3%. The positive sentiment extended to Chinese ETFs and ADRs listed in the US market, with some seeing increases of up to 9%.
This surge in Li Auto's stock price reflects growing investor optimism about the potential benefits of eased trade tensions for Chinese electric vehicle manufacturers. The agreement is expected to improve market access and reduce costs for Chinese companies operating in or exporting to the US market, potentially boosting their competitiveness and profitability in the near term.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.