Asia Wrap: Asian Equities Slip as AI Concerns and Higher Oil Weigh
Asian equities closed lower as concern over AI investment, rising oil prices and persistent inflation pressured risk appetite. S&P 500 futures were down 0.9% in the snapshot.
S&P 500 futures -0.9%Weaker risk tone amid AI investment concerns and higher oil.
Nasdaq futures -1.6%AI and semiconductor profitability concerns.
Brent crude +2.6%Middle East tensions and supply concerns.
Dollar-yen -0.6%Yen strengthened in the snapshot.
Lead: Asian equities closed lower as AI investment concerns, higher oil and persistent inflation weighed on risk appetite. S&P 500 futures were down 0.9% in the snapshot.
Session narrative: The ASX 200 fell 0.4% to 8,793; Taiwan’s TAIEX dropped 1.8% to a 5-week low. The NZX 50 slipped 0.1%, while the Sensex was down about 0.6% at the open. The Bank of Korea held its benchmark rate at 3.00% unanimously. New Zealand Q3 annual inflation eased to 3.7% from 4.1%, below the 3.8% forecast.
Cross-asset check: Brent crude rose 2.6%; dollar-yen fell 0.6% in the snapshot.
Themes & continuing stories: AI spending and chip profitability concerns pressured technology shares. Higher energy prices and persistent inflation kept rate expectations in focus.
What’s ahead: Australia’s flash October PMI and RBA Governor Bullock’s comments are due Friday. Markets fully price a 25bps RBNZ hike to 3.0% on 28 October.