Asian Markets Plunge as Nikkei Enters Bear Market Territory
Global tech stock sell-off hits Asian markets following sharp declines on Wall Street.
Asian markets recorded steep losses this Friday. Japan's Nikkei index officially entered bear market territory after accumulating losses of more than 20% from its recent peak.
This movement follows the negative performance observed in New York. The Nasdaq index fell 5.52% in the previous session. This scenario reflects an intense sell-off in technology companies and chip manufacturers.
Investors are concerned about potential regulatory changes in the United States following the Democratic victory in the midterm elections. There is fear that new rules could limit the expansion of infrastructure focused on artificial intelligence. This would reduce global demand for hardware, a sector where Asia holds significant production relevance.
The Kospi index in South Korea fell 6.02% after triggering circuit breakers to halt trading. In Taiwan, the Taiex closed down 4.51%. Major companies such as SK Hynix, SoftBank, and TSMC led the losses across the region.
Instability in global markets reflects a reassessment of future demand for infrastructure in the US and the concentration of positions in beneficiaries of the artificial intelligence boom.
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