(Reuters) – U.S. technology stocks were up Monday following a report by Chinese regulators that they are closing a probe into Didi Global, a ride-hailing company. This raised hopes of a reduction in the government’s crackdowns on China’s internet sector.

China’s Cyberspace Administration ()The Wall Street Journal reports that Didi, Full Truck Alliance Co, Kanzhun LTD, and Kanzhun Ltd have been cleared of any cybersecurity violations. They will then allow their apps to be re-published on Chinese app stores.

Didi’s share price soared by about half and lifted the overall U.S. stock market. The tech-rich Nasdaq rose 1.8%, while the benchmark gained 1.3%.

The shares of Full Truck, also known as Uber (NYSE:) of Trucks”, rose by more than 20%. Kanzhun, an online recruiter Zhipin.com owner, saw his share rise to over 20%.

Christopher Wong (a Maybank senior strategist in Singapore), said that the report added to optimism about regulatory crackdowns being closer to the end. He also stated that it fed into concerns about China’s opening and growing momentum.

The impact of COVID-19 restrictions and regulatory pressure have caused U.S. shares in the largest tech companies to drop by up to 60%.

U.S. listed shares in Chinese internet and E-Commerce firms Alibaba (NYSE:] Group, Baidu (NASDAQ :), JD(NASDAQ :).Com Pinduoduo (NASDAQ:) Gained between 3.8% – 11.2% Monday

American Depositary Receipts (ADRs), of EV startup Li Auto, Nio and Xpeng rose between 5.2% and 14%.

Wong stated that traders are preparing for an increase in the U.S. Federal Reserve’s rate next week. Wong added that more hikes could be coming.

Markets expect the U.S. central banks to raise interest rates by 50 basis point this month, in July and possibly the same amount in September. This is because the Fed’s goal is to keep inflation under control by tightening monetary policy quickly enough.