Benzinga | Sep 14, 2021 12:01PM EDT

Why Are NetEase Shares Trading Lower Today?



* Chinese gaming firm NetEase Inc (NASDAQ:NTES) scrapped some of its studios and projects started in early September amid China's video gaming sector regulatory crackdown, SCMP reports.

* NetEase pulled off multiple programmers, designers, and creative artists from their original jobs at its Shanghai and Hangzhou offices.

* China recently restricted the gaming time for players below 18.

* The Chinese stocks ranging from Alibaba Group Holding Ltd (NYSE:BABA), Tencent Holdings Ltd (OTC:TCEHY) are trading lower due to the domestic tech crackdown.

* Price Action: NTES shares traded lower by 2.3% at $86.15 on the last check Tuesday.