Hong Kong’s Stock Market Rises, Asia-Pacific Markets Mixed Amid Concerns Over Artificial Intelligence
Hong Kong’s Hang Seng Index ended the day 0.14% higher at 20,225.11, as the market only traded for half the day due to the Lunar New Year holiday. In Japan, the Nikkei 225 closed 1.39% lower at 39,016.87, while the Topix was flat at 2,756.90.
The decline in Japan’s chip-related stocks extended for a second day, with Advantest, Tokyo Electron, and Renesas Electronics all falling. This is due to concerns over the challenge posed by Chinese AI startup DeepSeek’s artificial intelligence technology, which could potentially threaten the global leadership of American AI companies.
Meanwhile, India’s Nifty 50 benchmark and BSE Sensex index rose 0.85% and 0.99%, respectively, following the Reserve Bank of India’s announcement of plans to inject over $17 billion into the financial system through measures such as bond purchases and currency swaps.
Australia’s S&P/ASX 200 ended the day 0.12% lower at 8,399.1, with weakness in gold miners, energy, and technology stocks offset by gains in iron ore miners and financial players. Markets in Taiwan, South Korea, and China were closed for holidays.
In the US, the S&P 500 and Nasdaq Composite plunged overnight amid concerns over an artificial intelligence stock bubble popping, with the Nasdaq dropping 3.07% and the S&P 500 falling 1.46%. The Dow Jones Industrial Average, however, rose 0.65% thanks to gains in Apple, Johnson & Johnson, and Travelers. Nvidia lost nearly $600 billion in market capitalization on Monday, the biggest drop for any company in a single day in U.S. history.