Why it matters
- Japan's Nikkei 225 fell 1.42% to 62,188.63 on Wednesday, Nov. 4, as Tokyo reopened after a holiday, Yahoo Finance data showed. It had plunged as much as 4.84% to 60,030.10 during the day.
- Mainland China rallied. The Shenzhen Component rose 4.22% and the Shanghai Composite 2.16% after the central bank said applications for its stock-purchase loan program topped 200 billion yuan, Trading Economics said.
- Hong Kong's Hang Seng gained 1.67% and South Korea's Kospi 0.62%, while Taiwan's Taiex fell 0.83% for a fifth straight loss and Australia's ASX 200 fell 0.59%.
Session recap: what happened in this region's trading day, with sources.
Japanese stocks fell on Wednesday, Nov. 4, as Tokyo reopened after Tuesday's Culture Day holiday. The Nikkei 225 closed down 1.42% at 62,188.63, Yahoo Finance data showed, after plunging as much as 4.84% during the day as chip stocks sold off. Mainland Chinese stocks jumped on new state support, and Hong Kong also gained, as investors weighed the U.S. midterm election results.
| Market | Wednesday close | Day |
|---|---|---|
| Nikkei 225 (Japan) | 62,188.63 | −1.42% |
| Kospi (South Korea) | 5,683.80 | +0.62% |
| Taiex (Taiwan) | 42,948.91 | −0.83% |
| Hang Seng (Hong Kong) | 23,919.50 | +1.67% |
| Shanghai Composite (China) | 3,686.17 | +2.16% |
| Shenzhen Component (China) | 11,335.69 | +4.22% |
| S&P/ASX 200 (Australia) | 8,834.50 | −0.59% |
| Sensex (India) | 77,301.40 | +0.50% |
| Nifty 50 (India) | 23,960.60 | +0.63% |
Source: Yahoo Finance daily chart data. The Nikkei's change is from Monday, Nov. 2, because Tokyo was closed Tuesday; other changes are from Tuesday, Nov. 3, closes.
Why did the Nikkei fall today?
Technology shares came under renewed selling on doubts about whether heavy AI spending can last, Trading Economics said. It added that investors feared a Democratic sweep of the U.S. Congress could bring tighter AI rules and more corporate oversight. The Nikkei fell to 60,030.10 at its low, its weakest level in five months, before cutting its loss, Yahoo Finance and Trading Economics data showed.
Electronics and chip stocks led the drop. Mitsui Chemicals fell 10.34%, Taiyo Yuden 8.31%, Kioxia 5.38% and Murata Manufacturing 4.86%, Yahoo Finance data showed. Tokyo Electron fell 3.42%, Advantest 3.35% and SoftBank Group 3.20%. These changes are from Monday's close.
Why did Chinese stocks rise?
Beijing stepped up efforts to steady the market, Trading Economics said. The People's Bank of China said applications for its stock-purchase loan program had exceeded 200 billion yuan, and it carried out 100 billion yuan of swaps with brokers and fund companies. A sharp rebound in technology shares also helped.
Optical-module makers led. Eoptolink Technology rose 13.35% and Zhongji Innolight 11.07%, while AI chip designer Cambricon Technologies gained 10.38%, Yahoo Finance data showed.
How did Hong Kong, Seoul, Taipei and Sydney trade?
The Hang Seng rose 393.53 points to 23,919.50. Tech and health care shares led, and Hong Kong's S&P Global PMI rose to 50.2 in October from 49.2 in September, back above the 50 line that separates growth from contraction, Trading Economics said. SMIC rose 8.96%, WuXi Biologics 12.22% and Lenovo 6.00%, Yahoo Finance data showed.
The Kospi swung widely. It fell as low as 5,421.72, down 4.0%, before closing up 0.62% at 5,683.80, Yahoo Finance data showed. Trading Economics said investors were weighing what Democratic control of both chambers of Congress could mean for U.S. policy, including rules on AI data centers.
Taiwan's Taiex fell for a fifth straight day to its lowest close since July 30, Trading Economics said. TSMC fell 1.53%, Hon Hai 2.24% and Delta Electronics 3.94%, Yahoo Finance data showed. In Sydney, the ASX 200 fell to a one-week low as U.S. stock futures dropped overnight, Trading Economics said. BHP fell 1.52%, Rio Tinto 1.69% and REA Group 2.58%, Yahoo Finance data showed.
What comes next?
Europe's session is in our Europe Wednesday recap, and U.S. futures, the election results and today's data are in our day-ahead guide. Tuesday's session, including the RBA's hike to 4.85%, is in our Asia Tuesday recap, 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, China stock market
- Trading Economics, Hong Kong stock market (Hang Seng)
- Trading Economics, South Korea stock market (Kospi)
- Trading Economics, Taiwan stock market (Taiex)
- Trading Economics, Australia stock market (ASX 200)
- Yahoo Finance, chart data for the Nikkei 225, Kospi, Taiex, Hang Seng, Shanghai Composite, Shenzhen Component, S&P/ASX 200, Sensex, Nifty 50, Mitsui Chemicals, Taiyo Yuden, Kioxia, Murata Manufacturing, Tokyo Electron, Advantest, SoftBank Group, Eoptolink, Zhongji Innolight, Cambricon, SMIC, WuXi Biologics, Lenovo, TSMC, Hon Hai, Delta Electronics, BHP, Rio Tinto and REA Group