On Wednesday, the Nasdaq Golden Dragon China Index increased by 1.6%, with popular US-listed Chinese stocks maintaining their upward trajectory. PDD Holdings Inc saw its gains expand to nearly 8%, while JD.com rose more than 7%. GDS Holdings Ltd advanced over 4%, and Alibaba climbed more than 3%. NIO Inc. and Baidu both increased by over 2%.

Market sentiment was influenced by a commentary published on the morning of March 25th, which argued that the food delivery competition should conclude. The article emphasized that healthy competition should focus on technological innovation, efficiency improvements, and service optimization rather than capital-intensive subsidy battles or zero-sum games leveraging monopolistic positions. It stated that price wars are unsustainable and that intense internal competition yields no winners. Following publication, markets interpreted this as a clear signal to end subsidy competitions in the delivery sector.

Additionally, on March 24th, Goldman Sachs' chief China equity strategist noted that global investor sentiment is improving, with international capital showing significantly increased attention and willingness to allocate to Chinese equity markets. Interest levels may have reached multi-year highs. Recent client surveys indicate that only about 10% of respondents now consider Chinese stocks "uninvestable," a substantial decline from approximately 40% two years ago, reflecting a positive shift in overseas investors' overall perception of Chinese assets.