Asian equities extended their losses on Thursday as technology stocks sold off following mixed earnings from U.S. companies, while rising oil prices intensified concerns across financial markets. China’s stock market entered bear-market territory, adding to pressure on regional benchmarks.
The CSI 300 index, which tracks 300 major companies listed in Shanghai and Shenzhen, declined 2%, pushing its drop from the June peak to 20%. Other Asian markets also posted steep losses. Japan’s Nikkei 225 fell approximately 3%, South Korea’s Kospi dropped 3.5%, Taiwan’s benchmark shed 2%, and Hong Kong’s Hang Seng Index declined 3%.
Chinese technology companies listed in Hong Kong recorded their worst daily performance since Trump’s April 2025 “Liberation Day” tariff announcement, according to Bloomberg’s David Ingles.
The sector’s technology index has now fallen more than 40% from its high, nearly wiping out the gains recorded after Beijing announced stimulus measures on Sept. 24. Forward valuations have contracted to around 13 times earnings, Ingles noted.
Mixed Earnings Renew Concerns About AI Spending
Investor unease over artificial intelligence investment grew after U.S. companies reported mixed third-quarter results. Tesla shares slipped around 3% in after-hours trading after the automaker lowered its capital expenditure outlook. Meta Platforms, by contrast, increased the lower end of its planned spending range.
Market weakness extended beyond equities. Bitcoin reversed its move above $84,000 and fell toward $82,000. Gold prices dropped more than 1%, moving below $4,100 an ounce, while silver lost over 3.5% to trade near $55. Nasdaq 100 futures declined almost 2%.
The Cboe Volatility Index (VIX), a measure of expected stock-market volatility, rose 10% to approximately 18. The index is now about 30% above its September low.
Crude Oil Climbs as Global Markets Retreat
Oil prices continued their advance, with West Texas Intermediate crude moving above $100 per barrel and Brent crude rising beyond $112. Brent reached its highest level since May as concerns over energy supplies and geopolitical tensions persisted.
The stock-market decline continued even as U.S. Treasury yields eased. Lower yields can improve the relative appeal of equities, but the 10-year Treasury yield remained near 5.077%, below its recent peak of approximately 5.4%.
Together, the technology sell-off, uncertainty surrounding AI investment and rising energy costs continued to undermine investor confidence across global markets.
