Why Alibaba Stock Is Rising Today

Shares of the China-based technology conglomerate Alibaba Group (NYSE: BABA) were gaining ground on Monday after the Chinese government said yesterday that it would implement a plan to boost consumer spending in the country.

A significant part of Alibaba's business is focused on e-commerce, so the Chinese government's move could help boost the company's growth. Investors were optimistic about the opportunity and pushed Alibaba's stock up 4.8% as of 11:56 a.m. ET today

China's government released its Special Action Plan to Boost Consumption on Sunday, highlighting a few areas that could help fuel economic growth. Specifically, the government wants to boost consumer spending, increase domestic demand, and even stabilize its stock market.

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Source Fool.com