Tencent (0700) fell 7% yesterday, and Citi said the decline was mainly driven by market funds rotating into AI hardware, with internet and gaming software stocks becoming targets for risk-off selling.
Ming Pao reported that Citi also cited renewed concern that higher AI investment could squeeze profits, as well as market fears and misunderstanding that slower year-on-year growth in game bookings in the second quarter of 2026 would lead to a year-on-year decline in revenue.
STOCKS | Citi Says Tencent Fall Driven By AI Rotation, Profit Fears
2026-07-23 06:25:57
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