Asian stocks today: Asian markets opened in negative territory on Wednesday, 8 July, as rising tensions in the Middle East dampened investor sentiment.
Japan’s benchmark Nikkei 225 slipped 0.55%, while the broader Topix index declined 0.7%. South Korea’s Kospi lost 0.72%, with the small-cap Kosdaq falling a sharper 1.94%. Meanwhile, Australia’s benchmark S&P/ASX 200 dropped 1.36% in early trade.
What’s driving Asian markets today?
Technology stocks led the decline across Asian markets, with Samsung Electronics dropping over 6% despite reporting a 19-fold jump in quarterly profit. The sharp fall dragged South Korea’s Kospi index down 4.3%. Chipmakers remained under pressure as SK Hynix shares slipped 4.2% after the company formally launched the marketing process for its planned US listing.
US equity futures also traded lower during early Asian hours, with Nasdaq 100 futures falling 0.4%, suggesting that Wall Street’s rebound on Monday could prove short-lived.
In commodities, Brent crude gained 0.4% to trade around $72.25 a barrel after reports that a tanker was hit in the Strait of Hormuz highlighted persistent risks to shipping in the strategically important waterway.
Recent volatility in technology stocks has prompted investors to look for stronger evidence that the artificial intelligence-driven rally can maintain its momentum. Although US semiconductor stocks delivered a record quarterly performance, market participants are now assessing whether elevated capital expenditure, intensifying competition, and expanding production capacity will translate into earnings growth sufficient to support current valuations.
Meanwhile, the Japanese yen weakened slightly to around 162.15 against the US dollar after positioning data showed hedge funds turned the most bearish on the currency since 2007.
US Treasuries were largely unchanged after advancing on Monday amid reduced expectations of a hawkish stance from the Federal Reserve. Japanese government bond futures also edged higher ahead of a closely watched 30-year bond auction that is expected to gauge investor demand.
In Asia, Samsung’s earnings remained a key focus. The company reported quarterly profit well above market expectations, driven by robust demand for memory chips used in AI data centres.
US stock market today
Stock futures were little changed on Tuesday as investors assessed escalating geopolitical tensions in the Middle East and a sharp rise in oil prices. Market participants were also awaiting the release of the minutes from the Federal Reserve’s latest monetary policy meeting.
The S&P 500 ended the session 0.45% lower at 7,503.85 points. The Nasdaq fell 1.16% to close at 25,818.69 points, while the Dow Jones Industrial Average slipped 0.25% to 52,925.15 points. The Dow had briefly touched a record high earlier in the trading session before reversing its gains and closing in the red.
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.