Stock Track | New Oriental Education Soars 5% as China Announces Bullish Growth Target and Supportive Policies

Stock Track03-05

New Oriental Education & Technology Group (EDU) stock surged 5.06% in Wednesday's pre-market trading session, following China's announcement of an ambitious economic growth target of around 5% for 2025 and supportive policies for domestic consumption and the tech industry.

The Chinese government unveiled a series of measures aimed at boosting economic growth and mitigating the impact of the ongoing trade war with the United States. These measures include a record fiscal deficit target, increased local government bond issuance, and a 300 billion yuan ($41.27 billion) consumer subsidy program to revive sluggish domestic spending.

Notably, the government also pledged to support the application of large-scale AI models, mentioning AI models for the first time in its annual work report. This move aligns with the growing prominence of China's AI industry, which has gained global attention following the success of startups like DeepSeek.

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