GuruFocusยท2024-10-04 12:11Group 1 - Chinese technology stocks have surged significantly due to new economic stimulus policies announced by the Chinese government, with new buying activity identified as the primary driver of this growth [1][2] - The Hang Seng Tech Index, tracking 30 Chinese tech companies, has increased over 45% in less than a month, with record gains observed over a six-day period [2] - Major Chinese tech companies like Alibaba, JD.com, and Baidu have seen little change in short positions, indicating that short covering has not been a significant factor in the recent market rally [1][2] Group 2 - Short interest in Alibaba, JD.com, and Baidu remains between 2% to 3%, despite valuation losses faced by short sellers [2] - Analysts suggest that some short sellers may remain skeptical of the recent rally, while bullish options in the market have reached record levels [3] - Bets on a U.S.-listed ETF tracking Chinese large-cap stocks have reached historic highs, with Alibaba and JD.com being major components driving this activity [3]