By Gina Lee

Investing.com – Alibaba (NYSE:) Group Holding Ltd. (HK:) on Friday, with Chinese tech shares on an upwards trend after its earnings that topped estimates and eased investor worries about the economic impact of China’s COVID-19 lockdowns.

Alibaba’s Hong Kong shares jumped 12.39% to HK$91.15 ($11.61) by 1:22 AM ET (5:22 AM GMT). E-commerce colleagues Baidu (NASDAQ.) Inc. (HK.:) saw shares in Hong Kong soar by 14.95%, to HK$133.

Hong Kong’s gained as much as 3.3% on Friday and Hang Seng Tech Index climbed by as much as 4.9%, the most in a week. The Nasdaq Golden Dragon China Index of Chinese firms trading in the U.S. jumped 7.6% on Thursday and China’s CSI 300 Index rose as much as 1.5%.

Both Alibaba and Baidu reported higher-than-expected sales growth, a sign that some of China’s largest corporations have found ways to work around the country’s strict COVID restrictions. The news is encouraging and rare in an economy where the outlook has dimmed because of restrictions.

“We do expect the second quarter to mark the bottom in growth for our companies,” Goldman Sachs Group Inc. head of Asia Internet research Ronald Keung told Bloomberg.

“Depending on the Covid policies and the government’s policies in helping to drive back consumption confidence, we do expect easier comps for China tech companies particularly as you enter into September and December quarters.”

There are growing hopes that the year-long crackdown against private enterprise will be ended. Authorities have promised support to the sector as part of their efforts to boost the economy.

Investors are still concerned that COVID-19-related outbreaks may hinder their efforts. The government may not be able to provide immediate support, as Tencent Holdings Ltd. executive warned that the policy change could take some time.