Stocks extend gains Thursday morning after a strong showing on Wednesday.
Shares of the Chinese electric vehicle maker Nio (NYSE: NIO) were rising today as investors processed the news that Alibaba -- China's largest e-commerce company -- is restructuring its business. The move is largely viewed by investors as a sign that the Chinese government, which has been heavy handed against tech companies over the past few years, is now softening its approach. Nio investors were optimistic today that less regulation for tech companies could result in a better environment for both businesses and consumers, and more growth for China's economy.
Shares of the large Chinese tech conglomerate Alibaba Group (NYSE: BABA) had blasted nearly 20% higher this week as of 1:09 p.m. ET Thursday, according to data from S&P Global Market Intelligence. The move comes after Alibaba announced that it is planning a major restructuring effort that will see the massive company split into six different parts and potentially involve numerous initial public offerings. Earlier this week, Alibaba announced that it plans to reclassify into a holding company and then split into six different divisions to house its various businesses including its cloud intelligence group, Taobao Tmall commerce group, local services group, Cainiao smart logistics group, global digital commerce group, and digital media and entertainment group.