Asia’s stock markets displayed mixed performances on Wednesday, with Chinese technology stocks retreating after a brief rally, reports AP.
The Hang Seng Index declined by 0.27% to 22,915.70, whereas the Shanghai Composite climbed 0.81% to 3,351.54. Japan’s Nikkei 225 dipped 0.27% to 39,164.61, following U.S. President Donald Trump's warning of a 25% tariff on car imports, a move that could negatively affect Japan’s economy.
UK inflation hits 10-month high
Meanwhile, South Korea’s KOSPI advanced 1.7% to 2,671.52, while Australia’s S&P/ASX 200 dropped 0.73% to 8,419.20.
China’s technology stocks tumbled on Wednesday following a short-lived surge earlier in the week. Alibaba’s Hong Kong-listed shares declined by 1.58%, while Baidu dropped 2.33% after reporting a 2% year-on-year revenue decrease for the fourth quarter amid intensifying artificial intelligence competition in China.
Tencent, a leading video game company, saw its stock fall by 1.37%, while online services giant Meituan lost 3.24%.
“Hong Kong and mainland China led the sell-off, letting some air out of the risk-on sentiment that had driven Asia’s market rebound,” noted Stephen Innes, managing partner at SPI Asset Management.
“Japanese stocks also followed the downturn, with automakers Toyota and Honda hit hard after Trump issued fresh threats—this time targeting autos, semiconductors, and pharmaceuticals with potential 25% tariffs,” he added.
The drop in Chinese tech shares occurred despite U.S. markets edging higher, with the S&P 500 setting a new record on Tuesday.
NBR to launch AEO next week to fast track int'l businesses
The benchmark for Wall Street’s performance gained 0.2%, surpassing its previous all-time closing high from last month.
The Dow Jones Industrial Average rose by 10 points, or under 0.1%, while the Nasdaq composite increased by 0.1%.
In energy markets, U.S. benchmark crude climbed 43 cents to $72.26 per barrel, while Brent crude, the global standard, increased by 40 cents to $76.24 per barrel.
In currency trading, the U.S. dollar slipped to 151.71 Japanese yen from 152.01 yen, while the euro rose to $1.0455 from $1.0446.