The US government is considering a plan to restrict Americans from buying shares of Alibaba Group Holding Ltd. BABA,
and Tencent Holdings Ltd. TCEHY,
according to The Wall Street Journal. The government has increasingly cracked down on investments in companies it claims to have links with the Chinese military. The WSJ report, citing several anonymous sources, said the US government has debated whether restrictions on investment in Alibaba and Tencent would have a broad impact on markets and remains uncertain whether the government will go through such bans. . Late Tuesday, the New York Stock Exchange changed its position again on the elimination of three Chinese telecommunications companies – China Telecom Corp. Ltd. CHA,
China Mobile Ltd. CHL,
and China Unicom CHU,
– from his exchanges, while trying to comply with an executive order of President Trump, which seeks to prevent US investors from buying shares of companies with alleged links to the Chinese military. The New York Stock Exchange said last week it would cancel the denominations before reversing the course earlier this week and then said it would return to its initial stock cancellation plans. Alibaba’s US-listed shares are down about 5% on Wednesday afternoon’s trading, while Tencent’s is down more than 3%.