Asian stock markets displayed a mixed performance on Monday, driven by ongoing volatility in technology stocks and a notable decline in oil prices. This market activity comes in the wake of U.S. President Donald Trump’s decision to suspend certain sanctions against Russia, which includes measures targeting its energy sector.
South Korea’s Kospi index saw an increase of 1.8%, recovering some losses from the previous week, while Japan’s Nikkei 225 experienced a decline of 0.6%. China’s Shanghai Composite managed a 0.4% gain, buoyed by better-than-expected economic growth figures of 4.5% for the July-September quarter. Australia’s S&P/ASX 200 also advanced by 0.4%, whereas Taiwan’s Taiex and India’s Sensex fell by 0.6% and 0.9%, respectively. Meanwhile, Hong Kong’s stock market was closed due to a holiday.
Technology shares continued to experience pressure as investors expressed concerns about the sustainability of the recent boom in artificial intelligence. Notably, South Korean chipmakers Samsung Electronics and SK Hynix posted modest gains, contrasting with declines in Japanese technology giants such as Tokyo Electron and SoftBank Group.
Investor attention is also on the horizon with upcoming earnings reports from major U.S. companies like Meta, Netflix, Tesla, General Motors, and IBM. The recent downturn in the technology sector has heightened uncertainty across global equity markets.
In the commodities market, oil prices dropped by more than 2% following Trump’s postponement of new U.S. sanctions on Russia. Brent crude prices fell 2.5% to $107.16 per barrel, while U.S. crude dropped 2.2% to $96.84 per barrel. Despite this decline, prices remain higher than pre-Iran war levels, with ongoing Middle East tensions and concerns about shipping routes through the Strait of Hormuz fueling worries over global energy supplies.
Additionally, U.S. Treasury yields eased slightly as investors weighed inflation risks and the outlook for financial markets. Market movements this week are expected to be influenced by corporate earnings, energy prices, and developments in geopolitical tensions.