Business · Markets · 1 hr ago
Asian markets fall as AI shares rebound on Wall Street
Most Asian markets fell on Tuesday after AI-related shares rebounded on Wall Street.
Japan, Australia, South Korea and Hong Kong all recorded losses, while Shanghai was little changed.
In the United States, the S&P 500 rose about half a percent and the Nasdaq gained 1.1%, while most shares outside technology and AI remained weak.
The rebound followed steep losses in AI stocks last week, as investors worried that rising borrowing costs could threaten the boom in spending on AI chips and data centres.
Higher bond yields can make borrowing more expensive for governments, companies and households, while oil prices stayed high amid uncertainty over the war with Iran.
Investors are now watching upcoming company earnings, including results from Meta Platforms and Lam Research, for clues about AI spending and business prospects.
Asian shares were mostly lower on Tuesday after artificial intelligence stocks rebounded on Wall Street.
South Korea’s Kospi fell 2.8%, while Japan’s Nikkei 225 declined 0.6% in early trading.
The S&P 500 rose 0.4% and the Nasdaq composite gained 1.1% on Monday, led by a recovery in AI stocks.
Most US stocks outside the AI and technology sectors fell, while oil prices remained high.
Investors were also awaiting earnings reports from major companies later in the week.
- Who
- Investors in Asian and US stock markets.
- What
- Asian shares mostly declined as AI-related stocks rebounded on Wall Street.
- When
- Tuesday, October 20, 2026, in Asia; the Wall Street rebound was on Monday.
- Where
- Asian markets and Wall Street.
- Why
- AI shares recovered after a sharp selloff, while other sectors remained shaky; investors were also waiting for earnings reports and facing concerns about borrowing costs and high oil prices.
This story does not have two clearly opposing sides.
AI stocks suffered a sharp selloff on Wall Street.
AI stocks rebounded, helping lift the S&P 500 and Nasdaq.
Asian shares were mostly lower in early trading.
- South Korea’s Kospi
- Down 2.8% to 5,605.31
- Japan’s Nikkei 225
- Down 0.6% to 64,512.35 in early trading
- S&P 500
- Up 0.4% to 7,690.73 on Monday
- Nasdaq composite
- Up 1.1% to 26,430.89 on Monday
- 10-year US Treasury yield
- 5.14%, up from 5.09% late Friday
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