U.S. stock market midday update: Alibaba rises 11.08%, driven by a 45% revenue growth forecast for cloud AI and share buyback benefits

U.S. Stock Market Midday Update

Alibaba rose 11.08%. Based on recent key news:

1. On July 8, Alibaba Cloud's AI business revenue is expected to grow by 45%. Jefferies reiterated a buy rating with a target price of $185. This news drove the stock price up, with southbound funds net buying Alibaba for HKD 3.98 billion in a single day, showing significant support from the capital side.

2. On July 8, the Hong Kong stock market rebounded significantly, with the Hang Seng Index rising more than 700 points, and technology stocks climbing across the board. Alibaba's stock price surged 8.1%, becoming a driving force for the market's rise.

3. On July 7, Alibaba spent $49.993 million to repurchase 4.076 million shares, demonstrating the company's confidence in its own value, further driving up the stock price. Technology stocks performed strongly, with noticeable capital inflow.

Stocks with High Trading Volume in the Industry

Amazon fell 1.67%. Based on recent key news:

1. On July 7, Amazon announced the issuance of at least $25 billion in bonds to increase investment in AI infrastructure. This move attracted market attention, and the bond issuance size may expand further based on investor demand, leading to stock price fluctuations. Source: Bloomberg

2. On July 8, Amazon's bond issuance received $62 billion in subscription demand, indicating strong market interest in AI-related investments, but the subscription enthusiasm has decreased compared to the issuance in March, affecting stock performance. Source: CaiLianShe

3. On July 8, Amazon plans to meet its dollar financing needs for 2026 through bond financing, but the market's capacity to absorb tech bonds is limited, leading to weakness in the secondary market. Source: Bloomberg The AI investment boom drives volatility in tech stocks.

Pinduoduo rose 2.75%. Based on recent key news:

1. On July 7, Pinduoduo donated 10 million yuan to flood-affected areas in Guangxi, demonstrating the company's sense of social responsibility, which enhanced market recognition of its brand image and drove up the stock price.

2. On July 8, Pinduoduo announced plans to build a data processing service center in Xiong'an New Area, with plans to increase its workforce to 5,000 in the next year, showing the company's strategic layout in digitalization and high-quality development, boosting investor confidence.

3. On July 8, Pinduoduo's financial report showed Q1 2026 revenue of 106.2 billion yuan and a net profit of 12.5 billion yuan, with transaction service revenue growing by 20% year-on-year, indicating initial success in the company's business structure adjustment, and the market reacted positively. The e-commerce industry is highly competitive, and policy risks need attention.

MercadoLibre fell 1.21%. Based on recent key news:

1. On July 8, MercadoLibre's Q1 2026 revenue grew by 49% to $8.85 billion, exceeding expectations by $522 million. This strong financial performance failed to prevent the stock price from falling, as concerns about macroeconomic risks still persist. Source: 24/7 Wall St

2. On July 8, analysts pointed out that although MercadoLibre's profitability outlook was rated A+, its valuation was only rated D+, which may lead to investor concerns about its long-term value. Source: Seeking Alpha

3. On July 6, MercadoLibre announced that it would add over 28,200 jobs in Brazil, demonstrating the company's positive momentum in expansion, but failed to boost its stock price. Source: Zhitong Finance, macro risks and competitive pressures affect market sentiment.

Stocks ranked among the top in industry market capitalization

Sea fell 0.12%, with increased trading volume. Based on recent key news:

1. On July 6, Sea's CCO and GC Wang Yanjun sold 2,400 shares of Class A common stock at a price between $103.22 and $106.3 per share. This move reduced the indirect shares held through a BVI entity to 42,400 shares. This news may raise market concerns about insider confidence in the company, affecting the stock price.

2. On July 1, Sea's CFO Hou Tianyu sold 5,000 shares of Class A common stock at an average price of $100.09 per share. This transaction reduced the indirect shares held through a BVI entity to 15,000 shares. This news may exacerbate market doubts about the company's financial health, further impacting the stock price.

3. On July 7, Shopee and Meta announced the launch of the Instagram Alliance project in Southeast Asia and Brazil, aimed at promoting product dissemination and sales through content sharing. This move may have a positive impact on Sea's e-commerce business but failed to significantly boost the stock price. The e-commerce industry is accelerating consolidation, and competition is intensifying