Asian equities came under pressure after a tech selloff hit Wall Street Friday, with chip shares among the losers. Hong Kong was an outlier as Alibaba Group Holding Ltd. surged. The MSCI Asia Pacific Index slipped 0.2% with chipmakers pushing the Nikkei-225 index down by 1.8%. Samsung Electronics Co. and SK Hynix Inc. slid after the US revoked China chip-gear permits. A gauge of technology shares in Hong Kong jumped as much as 2.6% with Alibaba surging 17% and lifting shares in the broader AI sphere, including Baidu Inc. and Tencent Holdings Ltd.
Silver reached its highest since 2011 while gold gained for a fifth day, trading around $3,475 an ounce. Indonesian stocks tumbled the most in nearly five months amid political instability. Equity-index futures for the US pared initial gains to trade flat, with the market closed Monday for Labor Day. On Friday, a federal appeals court ruled President Donald Trump’s sweeping trade tariffs were illegal. Asian markets followed Wall Street lower after Nvidia Corp.’s slide Friday and a weak outlook from Marvell Technology Inc., snapping a tech-fueled rally that has lifted markets since April. Still, Alibaba’s surge reaffirmed the view that China’s tech sector is starting to close the gap with US peers in core areas such as AI, said Charu Chanana, chief investment strategist at Saxo Markets. It’s a crucial time for equities and the next few weeks will give Wall Street a clear reading on whether the stock market rally will continue — or if it’s doomed to get derailed. Jobs reports, a key inflation reading and the Federal Reserve’s interest rate decision all hit over the next 14 trading sessions, setting the tone for investors as they return from summer vacations. The events arrive with stock market seemingly at a crossroads as the S&P 500 Index heads into September, historically its worst month of the year. September’s record remains on traders’ minds “but few managers will liquidate core holdings on seasonality alone,” Chris Weston, head of research at Pepperstone Group, wrote in a note. Political risks in Southeast Asian markets are also back in focus. Indonesia’s President Prabowo Subianto canceled a trip to China after deadly unrest over living costs and inequality, with protesters targeting the finance minister and several lawmakers. In Thailand, parties are jockeying to form the next government following the disqualification of Prime Minister Paetongtarn Shinawatra. Meanwhile, Fed Bank of San Francisco President Mary Daly suggested policymakers will be ready to lower interest rates soon, adding that inflation stemming from tariffs will likely prove temporary.
In commodities, oil declined after capping a monthly drop, with traders focused on concerns over a potential glut and geopolitical tensions. Traders are assessing whether India will yield to US pressure to end crude imports from Russia after Washington imposed secondary tariffs against the South Asian nation.
Nikkei -1.649% Hang Seng +1.99% CSI +0.43% Shanghai +0.31% Shenzen +0.56%
Eur$ 1.1705 CNH 7.1278 CNY 7.1316 JPY 146.98 GBP 1.3519 CHF 0.7998 RUB 81.0603 TRY 41.1421 WTI$ 63.74 -0.42% Gold 3,473 +0.75% BTC 107,515 -1.49% ETH 4,389 -1.47%
S&P -0.08% Nasdaq -0.13% EuroStoxx +0.17% FTSE +0.00% Dax +0.16% SMI +0.06%
Macro :
- China Factory Activity Slump Continues Despite Tariff Relief
- ECB’s Rehn Sees Risk of Inflation Easing, Helsingin Sanomat Says
- Margin Regime Change Arrives for $4 Trillion Options Market
- Margin Regime Change Arrives for $4 Trillion Options Market
- EU to tap entire €150bn loans-for-arms programme, France, Italy, Spain and Poland among countries requesting support from project designed to spur defence spending - FT
- US Approves Possible $8.5b Military Sale to Denmark
- US Approves Possible $150m Sale of Satellite Gear to Ukraine
- Junk Bonds Are on a Tear This Summer, Investors are piling back into funds that buy junk-rated corporate bonds and loans, despite elevated default rates - WSJ
- Yemen’s Houthis Say PM Was Killed in Israeli Strike Thursday
Keep an eye on :
- ABVX FP : Hedge Funds Scored Big Wins in July on French Biotech Company Abivax -- WSJ
- ABVX US : Macquarie Healthcare Adds Abivax, Cuts Eli Lilly
- 9988 HK : BABA US : Alibaba Shares Soar Most Since 2022 After Making Headway in AI +18.6%
- BA/ LN :UK secures largest ever warship deal from Norway, The £10bn agreement will deliver major boost for British defence industry and Glasgow shipyards - FT
- BAYN GY : Bayer, Merck Heart Drug Vericiguat Didn’t Meet Key Goal in Trial
- BIIB US : Biogen Gets FDA OK for at-Home Version of Alzheimer’s Drug
- BIIB US : Biogen Gets FDA OK for at-Home Version of Alzheimer’s Drug
- BP/ LN : US Seeks Changes to BP’s Proposed New Gulf Oil Project
- B¨/ LN : UK Can Get More From Oil, Gas With Faster Tax Change, Lobby Says
- 1211 JK : BYD : -6.21%
- CAT US : Caterpillar Offers to Buy RPMGlobal for A$5.00/Share Cash
- CPI AV : CPI Europe to Buy Czech Residential Portfolio From CPIPG
- CPI AV : CPI Europe to Buy Czech Residential Portfolio From CPIPG
- DD US : DuPont Agrees to Divest Unit That Makes Kevlar for $1.8b
- EDF FP : EDF Workers Plan Strike as France Political Crisis Deepens
- EQNR NO : Equinor to Participate in Orsted Rights Issue
- 4523 JP : Eisai and Biogen Self-Injected Alzheimer Drug Wins US Approval
- FLYY US : *SPIRIT AVIATION SHARES HALTED AFTER DROPPING 46% POST MARKET
- GSK LN : GSK Treatment Granted Orphan Drug Status by FDA
- IMPN SW : Implenia Wins Construction Contracts in Germany Worth >€200M
- IFX GY : Trump’s Tariff regime has created deep uncertainty for chip industry: Infineon
- INTC US : Intel Receives $5.7b in Accelerated Funding From US Govt Deal
- Koenigsegg IPO : Koenigsegg Chair Says Firm Considers Future Listing, DI Reports
- KHC US : Kraft Heinz Nearing Breakup Announcement as Soon as Next Week, Sources Say -- WSJ
- MC FP : Tiffany and Louis Vuitton Sites Are Coming to LA’s Rodeo Drive
- MB IM : Paschi Board May Decide to Raise Mediobanca Bid: Repubblica
- MRK US : Bayer, Merck Heart Drug Vericiguat Didn’t Meet Key Goal in Trial
- NIO US : 9866 HK : +2.87%
- OS US : OneStream Shares Rise on Betaville ‘Uncooked Alert’ on M&A
- ORCL US : Oracle billionaire’s institute gives Oxford major grant for AI vaccine research
- ORSTED DC : Equinor to Participate in Orsted Rights Issue
- RNO FP : French August New Car Registrations Rise 2.2%: PFA Association
- RR/ LN : Rolls-Royce Mulls Funding Options for Reactor Unit, FT Says
- SAN FP : Sanofi’s Wayrilz Approved in US for Immune Thrombocytopenia
- SB1NO NO : Unite New Property Top Pick at Morgan Stanley, Shurgard Upgraded
- S US : SentinelOne Sparks Takeover Speculation With Strong Outlook And AI Differentiation
- 000660 KS : Samsung, SK Hynix Sag After US Revokes China Chip Gear Permits
- Stada : CapVest Is Said to Near €10 Billion Deal for Drugmaker Stada
- TSLA US : Tesla Sees South Korean Retail Exodus as Crypto’s Allure Grows
- UHR SW : Swatch CEO Hayek Rules Out Taking Company Private: FAZ
- 9868 HK : XPeng Year to Date Deliveries 271,615 Units Vs. 77,209 Y/y -0.60%