NewsSignals
NewsSignals AI analysis·Dow Jones Newswires·

AI Selloff Continues in Asia; Oil Stays Elevated — Update

Grade Abearish AI signal$NVDA$WTI$BRENT$KRW$JPY$SPX
Asian stocks remained under pressure as investors continued to unwind crowded AI trades, extending the technology selloff across the broader ecosystem. The Philadelphia Semiconductor Index plunged 6.7%, while SK Hynix rebounded 3.2% and WTI and Brent crude gained 0.85% and 0.7%, respectively, amid escalating threats to Saudi energy infrastructure. Continued AI funding uncertainty could intensify semiconductor-sector volatility, while further attacks on energy infrastructure could sustain upward pressure on oil prices.

Bullish strength: 35/100

  • SK Hynix rebounded 3.2% during afternoon trading.
  • Hong Kong's Hang Seng Index gained 0.75% as losses narrowed.
  • Threats to Saudi energy infrastructure could tighten physical oil supply.
  • WTI and Brent crude futures gained 0.85% and 0.7%, respectively.

Bearish strength: 65/100

  • The Philadelphia Semiconductor Index plunged 6.7%.
  • Investors continued reducing exposure across the AI ecosystem, including established companies.
  • SK Hynix and other AI-related companies faced funding uncertainty and abandoned or pulled fundraising plans.
  • South Korea's Kospi and Japan's Nikkei fell 0.3% and 0.5%, respectively.

This is automated NewsSignals analysis of third-party reporting, not independent original reporting or investment advice. AI scores are not price predictions.

Read the original source ↗

← Browse more news analysis

Related market news analysis

More recent source-attributed AI analysis in stocks.

Wake up! The long bond's up two points!

US Treasuries surged as investors fled the AI trade, sending 10-year Treasury yields down 19 basis points in their biggest daily decline since early 2023. Meta shares fell almost 7% amid concerns over massive AI capital spending, while CoreWeave plunged another 10% and credit spreads widened across the sector. The flight to safety could intensify pressure on AI-related equities, while elevated oil prices and persistent inflation risks may limit the Federal Reserve's ability to ease monetary policy.

AI Selloff Continues in Asia; Oil Stays Elevated — Update

Asian stocks weakened as investors continued pulling back from the crowded AI trade, extending a technology selloff that sent the Philadelphia Semiconductor Index down 6.7%. Samsung Electronics and Kioxia Holdings fell, while SK Hynix rebounded 3.2% after abandoning plans for a U.S. listing of its Solidigm unit amid market volatility; meanwhile, WTI crude gained 0.85% and Brent rose 0.7% as attacks on Saudi energy infrastructure heightened supply concerns. Continued pressure on AI-related financing and escalating threats to Gulf energy infrastructure could sustain equity volatility and support elevated oil prices.

Wake up! The long bond's up two points!

US Treasuries surged as investors fled risk amid growing concerns over the AI investment boom, with 10-year Treasury yields plunging 19 basis points in their biggest daily drop since early 2023. Fed funds futures rallied as much as 22 ticks, Meta shares fell almost 7%, and CoreWeave dropped another 10% as concerns over AI infrastructure funding weighed on markets, while Brent crude remained above $113 a barrel. The combination of AI investment concerns and elevated oil prices could intensify market volatility and complicate the Federal Reserve's interest-rate decisions.

Indian shares seen opening higher after 3-session drop; oil surge clouds outlook

Indian shares are poised to rebound after three consecutive sessions of losses, but surging oil prices and Middle East tensions threaten to limit gains. Brent crude climbed to $113.50 a barrel, while the Nifty 50 and Sensex have each lost around 2% this week; foreign and domestic institutional investors were net buyers of Indian equities on Thursday. Sustained oil-price strength could pressure Indian equities further by worsening market sentiment and squeezing corporate profit margins, despite potential bargain buying.