Why it matters
- Asian stocks fell broadly on Thursday, Oct. 22, as renewed doubts about returns on heavy AI investment hit tech shares and rising oil prices added to inflation worries, Trading Economics said. The Kospi sank 3.52% to 5,533.77 and the Nikkei 225 2.65% to 62,907.84, Yahoo Finance data showed.
- Hong Kong's Hang Seng lost 3.03% to 22,934.68, on track for its steepest daily drop in seven months, as Alibaba fell 6% and Lenovo 11.8%, Trading Economics said. Taiwan's Taiex fell 1.81% as investors digested Meta and Tesla results.
- India's Sensex slipped 0.62% to 73,249.39 on oil-price worries, and Australia's ASX 200 fell 0.43%, according to Yahoo Finance data and Trading Economics.
Session recap: what happened in this region's trading day, with sources.
Asian stocks fell on Thursday, Oct. 22, because renewed selling in technology and artificial intelligence shares, driven by doubts that massive AI investments will pay off, hit the region's chipmakers, while rising oil prices after attacks on a Saudi oil field added to inflation concerns, Trading Economics said. South Korea's Kospi sank 3.52% to 5,533.77 and Japan's Nikkei 225 fell 2.65% to 62,907.84, according to Yahoo Finance data. Hong Kong's Hang Seng dropped 3.03%.
| Market | Thursday close | Change vs. Wednesday |
|---|---|---|
| Nikkei 225 (Japan) | 62,907.84 | −2.65%* |
| Kospi (South Korea) | 5,533.77 | −3.52% |
| Taiex (Taiwan) | 46,041.43 | −1.81% |
| Hang Seng (Hong Kong) | 22,934.68 | −3.03% |
| Shanghai Composite (China) | 3,658.03 | −1.48% |
| Shenzhen Component (China) | 11,357.32 | −2.96% |
| CSI 300 (China) | 4,036.30** | −1.84%** |
| S&P/ASX 200 (Australia) | 8,793.20*** | −0.43% |
| Sensex (India) | 73,249.39 | −0.62% |
| Nifty 50 (India) | 22,687.65 | −0.54% |
Source: Yahoo Finance daily chart data; changes are from Wednesday, Oct. 21, closes. \Yahoo's five-day data showed no Wednesday Nikkei close; it comes from Yahoo's one-month daily data (64,621.24). \\Yahoo's daily data showed only a last price (regularMarketPrice) for the CSI 300 and no earlier bars; the change is as reported by Trading Economics. \\\Yahoo's daily bar for Thursday showed no ASX 200 close; the level is its last price after the close, which matches Trading Economics' 8,793.
Why did Asian stocks fall today?
Investors kept questioning whether huge AI outlays will generate enough returns, and Japanese companies play a big role in the global AI infrastructure build-out, Trading Economics said in its Japan report. Mixed results from U.S. technology companies raised doubts about whether this week's tech rebound can last, it said in its China report. In Taiwan, stocks tracked weaker U.S. stock futures as investors digested earnings from Meta and Tesla, it said. Oil climbed after deadly attacks on Saudi facilities, a concern for import-dependent Asian economies.
The drop reversed Wednesday's chip rally; see our Asia Wednesday recap.
Why did the Nikkei and Kospi fall?
The Nikkei closed at its lowest in nearly three months, Trading Economics said. Tokyo Electron slid 7%, SoftBank Group 6.9%, Kioxia 6.8%, and Advantest and Taiyo Yuden 6% each.
The Kospi closed at its lowest level since April as concerns over the profitability of debt-backed AI infrastructure spending weighed, Trading Economics said. Samsung Electronics fell 4.03% and SK hynix 5.49%, while Samsung SDI lost 7.58% and LG Energy Solution 5.22%. The Bank of Korea held its policy rate at 3.00%, as expected, it said. The yen was at about 157.08 per dollar around 12:57 GMT, Yahoo Finance data showed.
Why did Hong Kong and China stocks drop?
Technology shares led a broad sell-off in Hong Kong, Trading Economics said. Alibaba fell 6%, Tencent 3.4%, Lenovo 11.8% and SMIC 6.4%. Brent crude above $110 a barrel and stronger-than-expected third-quarter growth in China, which reduced hopes for near-term policy support, also weighed, it said.
In mainland China, the Shenzhen Component fell to a more than two-month low, with Zhongji Innolight down 8.8% and Eoptolink Technology 12.3%, Trading Economics said.
How did Taiwan, Australia and India trade?
The Taiex fell to its lowest since Sept. 17, Trading Economics said. TSMC lost 1.5%, MediaTek 3.1% and Delta Electronics 4.0%.
The ASX 200 fell as U.S. futures weakened on higher oil and AI worries, Trading Economics said. Fortescue slipped 4.5%, and Reserve Bank of Australia Deputy Governor Hauser said inflation remains more persistent than expected.
India's Sensex fell for a third session, to its lowest in over a week, on concern that high crude prices could widen the import bill and fuel inflation, Trading Economics said. Reliance Industries fell 2.6%.
What comes next?
Europe's session is in our Europe Thursday recap, U.S. jobless claims and futures are in our day-ahead guide, and live levels are on the markets page.
Follow the rest of the trading day on our global market today page, with the latest Asia, Europe and Americas session recaps.
Sources
- Trading Economics, Japan stock market (Nikkei 225)
- Trading Economics, South Korea stock market (Kospi)
- Trading Economics, Hong Kong stock market (Hang Seng)
- Trading Economics, China stock market (including the CSI 300)
- Trading Economics, Taiwan stock market (Taiex)
- Trading Economics, Australia stock market (ASX 200)
- Trading Economics, India stock market (Sensex)
- Yahoo Finance, chart data for the Nikkei 225 (one-month data), Kospi, Taiex, Hang Seng, Shanghai Composite, Shenzhen Component, CSI 300, S&P/ASX 200, Sensex, Nifty 50 and USD/JPY