Thursday, 01 January 2026
Jakarta
--:--
Tokyo
--:--
Hongkong
--:--
New York
--:--
Asian Markets Dragged Down by AI Stocks
Wednesday, 5 November 2025 07:22 WIB | MARKET UPDATE |Asia

Asia-Pacific markets declined on Wednesday, following a decline on Wall Street, which was driven by concerns about the valuations of artificial intelligence (AI) stocks. Shares of Palantir, a major player in the AI ​​sector, fell about 8%, despite the company reporting better-than-expected quarterly results. This decline reflects investor caution regarding AI stocks, which are considered overvalued, despite their strong growth.

Major stock indices in Asia showed declines, with Australia's S&P/ASX 200 down 0.19%, and Japan's Nikkei 225 down 0.25%. Meanwhile, South Korea's Kospi fell 1.9%, and the Kosdaq fell 0.95%. In Hong Kong, the Hang Seng Index is expected to open lower, reflecting the negative sentiment driving global markets. Concerns about high valuations in the AI ​​sector have dampened overall market sentiment.

Comments from the CEOs of Goldman Sachs and Morgan Stanley, who warned of a possible market correction in the next two years, further added to the uncertainty. "The sell-off finally occurred after comments from the CEOs of Goldman Sachs, Morgan Stanley, and Capital Group that the market was headed for a correction," said Andrew Jackson, head of Japan equity strategy at Ortus Advisors.

This decline also mirrored the broader trend in global stock markets, with the S&P 500 index down 1.17% and the Nasdaq Composite down 2.04%. AI stock valuations have pushed the S&P 500's forward P/E ratio above 23, near its highest level since 2000, adding to concerns of a market correction after the massive surge in AI stocks. (Asd)

Source: Newsmaker.id

RELATED NEWS
European Markets Close Mixed On Last Trading Day Of 2025; Defense Stocks Rose...
Thursday, 1 January 2026 00:35 WIB

European stocks ended mixed on the last trading day of the year. The pan-European Stoxx 600 index closed a shortened trading session 0.1% lower on Wednesday, with most sector indexes in negative terr...

S&P 500 Opens Little Changed, Gets Set to Close Out 2025 With 17% Gain...
Wednesday, 31 December 2025 21:45 WIB

Stocks were little changed Wednesday as Wall Street got ready to close out a bumper year for equities. Stocks are riding a three-session losing streak, although the declines have been mild and the S&...

Happy New Year 2026...
Wednesday, 31 December 2025 20:52 WIB

Happy New Year 2026 Newsmaker.id...

European Equities Poised for Strongest Year Since 2021...
Wednesday, 31 December 2025 19:34 WIB

European equities traded at all-time highs on the final day of 2025, setting the stage for their strongest year since 2021, driven by gains in banks and miners. The STOXX 50 rose 0.5% to near a record...

US Futures Dip, Stocks Still Poised for Yearly Gains...
Wednesday, 31 December 2025 19:11 WIB

US stock futures edged lower on the final trading day of 2025, as markets prepared to close a turbulent year marked by uncertainty over President Trump's tariffs and enthusiasm around AI-driven gains....

LATEST NEWS
Oil Prices Post Sharpest Annual Decline Since 2020

Oil prices fell on Wednesday (December 31st), posting a nearly 20% annual loss, as expectations of oversupply grew in a year marked by war, higher tariffs, increased OPEC+ production, and sanctions against Russia, Iran, and Venezuela. Brent crude...

Gold Price Forecast: XAU/USD Remains Near $4,300 with Strongest Annual Gain

Gold (XAU/USD) prices fell slightly on the final trading day of 2025, trading near $4,310 per troy ounce during Wednesday's European session. Non-yielding precious metals, including gold, lost ground after the minutes of the Federal Open Market...

European Markets Close Mixed On Last Trading Day Of 2025; Defense Stocks Rose

European stocks ended mixed on the last trading day of the year. The pan-European Stoxx 600 index closed a shortened trading session 0.1% lower on Wednesday, with most sector indexes in negative territory. The U.K.'s FTSE 100 ended the day down...

POPULAR NEWS
Trump Says US Attacked Drug-Trafficking Dock in Venezuela (2)
Tuesday, 30 December 2025 06:18 WIB

President Donald Trump said the US attacked a facility inside Venezuela, which would be a significant escalation in his campaign against alleged...

Meeting Minutes Show Deep Disagreements at December Meeting
Wednesday, 31 December 2025 02:12 WIB

The US Federal Reserve agreed to cut interest rates at its December meeting only after a highly nuanced debate about the current risks facing the US...

Trump and Putin Hold 'Positive Call,' White House Says (1)
Monday, 29 December 2025 23:29 WIB

President Donald Trump held a phone call with Russian President Vladimir Putin on Monday to discuss efforts to end the war in Ukraine, according to...

S&P 500 Falls as Investors Take Profits from Tech Stocks Ahead of 2025 Year-End: Live Updates
Tuesday, 30 December 2025 03:53 WIB

Stocks fell on Monday, driven by losses in the technology sector, after the S&P 500 hit a record high last week. The S&P 500 fell 0.3%,...