Global Market Today: Asian stocks drop on tech jitters, oil edges lower
The MSCI Asia Pacific equities index edged 0.1% lower early Friday. Japan’s Nikkei fell over 1%, with Softbank Group Corp. declining more than 5%. The regional moves came after the Nasdaq 100 Index sank 1.4%, its worst day in seven weeks, while a US gauge of chipmakers slumped 3.4%. The S&P 500 Index dropped 0.5%. Markets are closed in South Korea and Taiwan.
Asian markets fell on Friday amid concerns over the sustainability of the AI spending boom, as speculation about OpenAI's revenue growth revived doubts about its profitability. Oil prices also dipped. The MSCI Asia Pacific equities index slipped 0.1% early Friday, while Japan's Nikkei fell over 1%, with Softbank Group Corp. down more than 5%.
The declines in Asia followed a drop in US stocks, with the Nasdaq 100 Index sinking 1.4%, its worst day in seven weeks, and the S&P 500 Index falling 0.5%. In tech, chipmakers' gauges declined 3.4%. The S&P 500's weakness came after a Financial Times report that OpenAI's annualized revenue was lower than previously estimated. Meanwhile, a data center company backed by Nvidia Corp. is set to delay its IPO.
Oil prices fell to around $91 a barrel after President Trump said the US wouldn't attack Iran before November's midterm elections. Treasuries maintained gains from the US session, while the dollar traded steady. Analysts noted that the current market sell-off may be a temporary pullback ahead of earnings.
Written by urgent.news from The Economic Times - Top News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
