⚠Top movers alert: Meituan, Alibaba - up 6% and 4% respectively on China's anti-unfair competition investigation. Why is that?

🔝Chinese food delivery companies $MEITUAN-W(03690)$ and $BABA-W(09988)$ are amongst this morning's top Chinese stock gainers with respective share price jumps of +5.6% to HKD 104.10 and +3.9% to HKD 152.20 as of 1110AM this morning

📊Notably, Meituan's share price surge is accompanied by trading volume that is more than triple its 20-day average, according to Bloomberg

✳✴ Trending call warrants tracking Meituan ( $Meituan MB eCW260505(OASW.SI)$ ) and Alibaba ( $Alibaba MB eCW260505(WLWW.SI)$ ) are clocking returns between 26% to 44% while Alibaba trending put warrant ( $Alibaba MB ePW260303(IBBW.SI)$ ) is down 29% on the share price outperformance. There are no put warrants available over Meituan

👮‍♀️It was reported this morning that China's Office of the State Council Anti-Monopoly and Anti-Unfair Competition Committee are to investigate and assess the competitive situation in the food delivery platform service industry

👍Bloomberg Intelligence believes that this will support industry margins, as increased scrutiny will curb subsidy-led expansion and raise compliance costs for new entrants.

👍This will lead to scaled players such as Meituan and Alibaba - the two larger players in the Chinese food delivery sector - better placed to defend market share

👎However, with consumer sentiment still weak, fewer perks can hurt order frequency and restrict annual revenue growth for Meituan and Alibaba

🔍Investors keen to trade the moves in Meituan and Alibaba can do so via the trending warrants which move between 6-9 times more than the shares while costing around SGD 0.029 to SGD 0.033 as of 1110AM today