China Tech Shares Pare Rally on Alibaba Cloud Report

Sentiment for tech shares is fragile globally, with interest rates set to rise.

(Bloomberg) — Chinese technology shares listed in Hong Kong trimmed an earlier advance after local media reported that cooperation was suspended between an Alibaba Group Holding Ltd. unit and a government agency.

The Hang Seng Tech Index closed up 1.3% after rising 2.5% in morning trading. Alibaba wiped out nearly all of its initial gains after the 21st Century Business Herald reported that the company’s cloud computing unit was temporarily suspended as a partner of the Ministry of Industry and Information Technology’s internet security program because it failed to report a bug in time.