Asian stock markets are mostly higher on Friday, following positive cues from Wall Street, with strong gains in Japan and South Korea as technology and semiconductor stocks rebound after a recent sell-off over rising costs of financing AI investments. Markets in Asia mostly ended lower on Thursday. Despite hotter-than-expected US inflation data over the past two days, CME Group's FedWatch Tool suggests the Federal Reserve will likely leave rates unchanged later this month.
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- Asian Markets Track Wall Street Higher
Asian markets were mostly higher on Friday, tracking positive cues from Wall Street, with strong gains in Japan and South Korea as technology and semiconductor stocks rebounded from a recent sell-off over concerns about rising costs of financing AI investments. Despite hotter-than-expected US inflation data, CME Group's FedWatch Tool suggests the Federal Reserve is still likely to leave rates unchanged this month. Escalating Middle East conflict pushed crude prices higher after two commercial vessels in the Strait of Hormuz were struck by projectiles, and Yemen's Houthis vowed to press on with attacks on airports and oil facilities in Saudi Arabia after hitting Aramco's headquarters. The S&P/ASX 200 rose 0.85% to 8,793.60, led by mining and technology stocks such as BHP, Block and WiseTech Global. The Nikkei 225 climbed 1.75% to 65,550.68, snapping a six-session losing streak.
- Asian Markets Track Wall Street Higher
- Asian Markets Track Wall Street Higher
Asian stock markets were mostly higher on Friday, tracking broadly positive overnight cues from Wall Street, with strong gains in Japan and South Korea as technology and semiconductor stocks rebounded from a recent sell-off over concerns about rising costs of financing AI investments. Asian markets mostly ended lower on Thursday. Despite hotter-than-expected US inflation data released over the past two days, CME Group's FedWatch Tool suggests the US Federal Reserve is still likely to leave rates unchanged later this month.
- SK Hynix, SoftBank shares plunge as tech stocks in Asia track Wall Street chip sell-off
Asian technology stocks fell on Tuesday as a U.S. chip sell-off spread to regional markets, with worries over AI financing and rising competition weighing on sentiment. South Korea's SK Hynix dropped more than 8% and Samsung Electronics fell 7.9%, both hitting their lowest intraday levels since August, while Japan's SoftBank Group sank 8.03%. Other Japanese chip and equipment stocks also declined after the Nasdaq Composite fell 0.44% on Monday. Micron Technology slid 3.9% as investors weighed competition from China's ChangXin Memory Technologies (CXMT), which reported progress on a new chip structure that boosts memory density. Analysts quoted in the article said the sell-off reflected broader anxiety over the AI trade rather than a fundamental shift, since CXMT has yet to reach large-scale production and still lags in HBM, while the Intel and Broadcom CEOs warned that access to capital could become a headwind for the AI boom.
- Asian stocks skid , Wall Street and bonds aided by oil slip
Asian shares fell on Monday, October 19, as worries about AI's huge funding needs weighed ahead of a busy earnings week, while the euro eased after rioting in France. Oil prices dropped after Trump waived some Russia sanctions, though he later said no final decision had been made, with Brent down 1.6% to US$108.06 a barrel; Iran also reported another tanker hit a mine in the Strait of Hormuz. Tech weakness hit Asia, with Japan's Nikkei down 2.0% and South Korea down 1.6%, after the PHLX Semiconductor Index shed 11.4% last week, its longest losing streak since 2008. Goldman Sachs estimates five AI hyperscalers will lift capital spending to about US$1.2 trillion next year, while AMP economist My Bui warned that rising yields raise financing costs. Gold rose 0.4% to US$4,181 an ounce as yields fell.
- Wall Street's fear gauge is ripping. Traders see it going even higher
The VIX rose above 22 for the first time in four months as AI stocks sold off, while the Nasdaq shed 2% in its worst day since June 5 and CoreWeave lost 13%. A cluster of November VIX call purchases suggests traders are betting the index will close above 23 by the third week of November, with one trader buying 9,200 November 18 20-strike calls for $1.7 million and 12,500 November 18 23-strike calls for $1.1 million. Nine of the top ten most-traded VIX contracts were calls, with nearly $27M in premium, about 36% of the day's total VIX options premium. The market faces a key test next week when Tesla, SpaceX and Meta report earnings.
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- Meta Earnings: What To Look For From META
Meta Platforms (NASDAQ:META) will report earnings this Wednesday after the market closes. Last quarter, revenue reached $60.8 billion, up 28% year on year and above analysts' expectations, though revenue guidance for next quarter slightly missed forecasts; daily active users hit 3.6 billion, up 3.4%. The market expects revenue growth of 23.6% this quarter, slowing from 26.2% a year earlier, and analysts have generally reconfirmed their estimates over the past 30 days. Over the last month, consumer internet stocks have gained 1.3% on average, while Meta is down 4.8%.
- An AI bust could come from places investors arent watching , an economist says
Concerns about an AI bubble are growing, and TS Lombard's Dario Perkins warns that investors may be overlooking other risks. Debt among smaller cloud providers, model developers and suppliers could reach $2 trillion by the end of 2027. Perkins does not see this as a systemic risk, but warns that earnings disappointments and canceled orders could ripple through the ecosystem, and that a chip glut could follow over-ordering. Much of the industry's revenue growth still comes from spending within the AI ecosystem rather than from businesses and consumers outside it. He also flags political backlash, noting that ordinary people dislike AI and nearby datacenters, and warns that one high-profile accident could turn AI toxic.
- Yen jumps after JGB auction draws big demand , euro finds relief
The yen rose 0.2% to 158.15 per dollar in Asian trading after a 20-year Japanese government bond auction drew bids of 5.84 times the amount sold, well above the 4.01 times at the previous auction, and the yield fell 6 basis points to 3.71%. A State Street strategist said the record demand suggests sidelined cash is returning and that JGBs are becoming a relative haven from political and fiscal volatility in Europe, particularly France. Anti-government protests in France prompted curfews in several cities, while Italy said it would send 500 troops after two days of unrest, and the euro rallied 0.2% to $1.1234. Elsewhere, bitcoin slipped 0.3% to $81,674.25 and ether edged down 0.2% to $2,393.21.
- Unemployment rate dips to 4 . 7 % - but vacancies hit five - year low
Vacancies fell by 21,000 to 691,000 in the three months to September, the biggest drop since the three months to March and the lowest since July to September 2014 outside the pandemic, while unemployment dipped in the three months to August. Payroll numbers were down 66,000 over the year to September. The ONS said the fall was mainly among smaller firms struggling with higher labour costs, following rises in employer national insurance, the minimum wage and workers' rights. A CBI survey found labour costs and regulations were making it harder to create jobs, and firms urged the Chancellor not to add to their burden in the October 28 Budget. ICAEW's Suren Thiru said the labour market is 'running on idle' and unemployment could climb above 5 per cent, while Shadow Chancellor Andrew Griffith blamed Labour's 'Jobs Tax' and red tape.
- CNBC Daily Open: Tech rebounds in the U.S., but Asia isn’t buying it yet
U.S. tech stocks rebounded as the Nasdaq Composite rose more than 1% on Monday, with Nvidia up 1.4% and Tesla up 3.8%. In Asia, however, tech shares fell on Tuesday, with South Korea's Kospi down over 4% and Japan's Nikkei 225 down 1.6%. Nvidia also unveiled plans to back four German AI startups as part of its nearly $10 billion European investment commitment. Jenny Lee of Granite Asia said Asian companies are reaching IPOs much sooner, often at four to five years old, while Jio Platforms' Indian IPO saw its anchor investor quota oversubscribed more than 30 times, aiming to raise up to 302 billion rupees ($3.2 billion). In Singapore, several agricultural stocks fell after Senior Minister K Shanmugam warned that companies would not escape responsibility for possible roles in the haze, noting seven firms had been questioned by the Singapore Exchange.
- NiSource (NI) Stock Looks Overvalued Against Its Dividend Outlook
NiSource has nearly doubled shareholders' money over the past five years, delivering a 97.6% total return, which raises the question of whether dividends can justify the current share price. The article highlights a new 20-year energy agreement with Microsoft, including customer-funded grid upgrades and long-term electric service for data centers, which may affect future capital needs and cash-flow visibility. Using a Dividend Discount Model with inputs of about $1.35 dividend per share, roughly 9.07% return on equity, a payout ratio slightly above 61%, and implied dividend growth of about 3.5%, the estimated intrinsic value sits meaningfully below the current share price of $41.95. The model still does not bridge that gap, suggesting income investors are paying a premium for a relatively steady payout with modest assumed growth.
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