Wall Street Breakfast Podcast: Chinese Tech Stops Slip

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Chinese tech stocks in correction territory amid profit-taking, global selloff. (00:22) Musk’s SpaceX, Apple (AAPL) at loggerheads over satellite internet. (01:40) Eli Lilly’s (LLY) lepodisiran slashes inherited heart disease risk factor by 94% in Phase 2 trial. (02:24)

This is an abridged transcript.

Chinese technology stocks have slipped into correction territory as investors booked profits following the DeepSeek-fueled rally, with the Hang Seng Tech index (NYSEARCA:KTEC) declining about 12% since its highest level this year.

The index fell 1.7% on Monday amid a broader decline in equities around the world ahead of U.S. President Donald Trump’s massive tariff plan expected on Wednesday. Stocks in Hang Seng Tech index: Xiaomi -3.4%, JD.com -1.9%, Alibaba -1.7%, Tencent -1.7%.

“There is no specific bad news for China tech stocks, so the recent correction is largely due to profit-taking and the relatively subdued China recovery,” Vincent Chan, China strategist at Aletheia Capital, told CNBC.

Vey-Sern Ling, senior equity advisor at UBP, said the correction is normal after the DeepSeek-driven rally. He added that Chinese tech stocks still have room to appreciate, given their relatively low valuations and earnings potential.

The Hang Seng Index (HSI) dipped 1%, while the Shanghai Composite Index (SHCOMP) was down 0.5% at the time of writing.

SpaceX (SPACE) is reportedly clashing with Apple (NASDAQ:AAPL).

The Wall Street Journal reported on Sunday citing unnamed sources that SpaceX, which runs Starlink satellite internet communications, has pushed for federal regulators to stall Apple’s plans to expand its own satellite fleet.

The company has also been lobbying the Federal Communications Commission to block Apple’s partner Globalstar from launching 48 low-Earth satellites, claiming that its C3 constellation would use the disputed 1.6GHz and 2.4GHz spectrum.

Globalstar’s C3 constellation is partly funded by $1B from Apple (NASDAQ:AAPL).

SpaceX and T-Mobile (TMUS) already have a deal with Apple (AAPL) to allow Starlink on new iPhones, with services set to start this summer.

Eli Lilly (NYSE:LLY) released positive Phase 2 results for its small interfering RNA (siRNA) drug candidate lepodisiran on Sunday.

The trial results showed 94% lower levels of a genetically inherited heart disease risk factor in adults with elevated risk taking the highest test dose of the drug candidate.

Lepodisiran aims to lower the production of lipoprotein(a), a genetically inherited risk factor for heart disease. Some patients showed sustained lower levels of Lp(a) for nearly 1.5 years.

The highest tested dose was 400 mg. Trial participants who took 16 mg and 96 mg doses of lepodisiran had a 40.8% and 75.2% reduction in Lp(a) levels over the 18-month-long study, respectively.

Ruth Gimeno, group vice president, diabetes, obesity and cardiometabolic research at Eli Lilly (NYSE:LLY), said: “We will continue to evaluate the potential benefits of lepodisiran in the ongoing Phase 3 cardiovascular outcomes trial.”

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Catalyst watch:

• The Optical Fiber Communication Conference in San Francisco takes place. The four-day event is seen by analysts as being relevant to Broadcom (AVGO), Marvell Technology (MRVL), Coherent (COHR), Credo Technology (CRDO), and Lumentum (LITE).

• Intel (INTC) will hold its two-day Intel Vision event. The conference will showcase how Intel technologies are being used to enable new solutions and drive business success in the AI era. CEO Lip-Bu Tan will deliver an opening keynote.

Now let’s take a look at the markets ahead of the opening bell. Dow, S&P and Nasdaq futures are in the red. Crude oil is up 0.1% at $69/barrel. Bitcoin is down 2.5% at $81,000.

In the world markets, the FTSE 100 is down 1% and the DAX is down 1.1%. The market in India is closed for a holiday.

The biggest movers for the day premarket: WR Berkley’s (NYSE:WRB) +7.5% – Shares rose after Mitsui Sumitomo Insurance, a unit of MS&AD Insurance Group from Japan, announced its acquisition of a 15% stake in the company by the end of March 2026.

On today’s economic calendar:

Speaking of survey…I have one for you. We’re looking for your input on the topics we cover here on the Wall Street Breakfast podcast. I’m including a link to the survey in show notes.