Asian markets largely declined following a tech-led sell-off on Wall Street, driven by concerns over the sustainability of the AI-driven rally.
Leading the losses, Tokyo’s Nikkei 225 index dropped 1.8% to 39,210.61, with tech stocks under pressure after Dutch chip equipment supplier ASML warned of a slower recovery in semiconductor demand beyond the AI sector. Among the biggest decliners, chip manufacturer Tokyo Electron plunged 9.8%, and Lasertec Corp., a chip inspection equipment maker, tumbled 13.4%.
Australia’s S&P/ASX 200 edged down 0.2% to 8,301.80. In South Korea, the Kospi fell 0.4% to 2,622.27, while Taiwan’s Taiex lost 0.5%, and India’s Sensex slipped 0.2%.
However, Chinese markets mostly advanced, bouncing back from recent losses. Hong Kong’s Hang Seng surged 0.9% to 20,501.77, and the Shanghai Composite index rose 0.4% to 3,214.01.
On Wall Street, stocks finished lower on Tuesday. The Dow dropped 0.8% to 42,740.29, while the S&P 500 declined to 5,815.26. The tech-heavy Nasdaq Composite slid 1% to 18,315.59.
The yield on the 10-year Treasury note decreased to 4.03% from 4.1% on Friday, following a closure of the U.S. bond market on Monday.
