Asian markets came under heavy selling pressure on Thursday as technology stocks weakened following mixed U.S. earnings reports, while rising crude prices added to concerns about the global economic outlook. Chinese stocks entered bear-market territory as investors reassessed technology valuations and the prospects for artificial intelligence spending.
China’s CSI 300 index, which measures 300 leading stocks listed in Shanghai and Shenzhen, fell 2%, bringing its losses to 20% from its June high. Elsewhere in Asia, Japan’s Nikkei 225 dropped around 3%, South Korea’s Kospi slid 3.5%, Taiwan’s benchmark declined 2%, and Hong Kong’s Hang Seng Index lost 3%.
Hong Kong-listed Chinese technology shares suffered their biggest daily decline since U.S. President Donald Trump announced his “Liberation Day” tariffs in April 2025, Bloomberg’s David Ingles reported.
Ingles said the technology index had fallen more than 40% from its peak, erasing almost all the gains made after Beijing unveiled its stimulus measures on Sept. 24. Forward price-to-earnings valuations have also fallen to roughly 13 times earnings.
Mixed U.S. Earnings Pressure Technology Stocks
Uncertainty over the returns from artificial intelligence investment intensified after U.S. companies delivered mixed third-quarter results. Tesla shares fell approximately 3% in after-hours trading after the company lowered its capital-spending forecast. Meta Platforms moved in the opposite direction on spending guidance, raising the lower end of its projected investment range.
The broader market weakness also spilled into cryptocurrencies and precious metals. Bitcoin surrendered its gains above $84,000 and retreated toward $82,000. Gold fell more than 1% to below $4,100 an ounce, while silver dropped over 3.5% to around $55. Nasdaq 100 futures declined nearly 2%.
The Cboe Volatility Index, commonly known as the VIX, climbed 10% to approximately 18, standing about 30% above its September low.
Oil Surge Adds to Market Anxiety
Energy prices continued to rise amid renewed concerns about supply and geopolitical risks. West Texas Intermediate crude moved above $100 per barrel, while Brent crude climbed past $112, reaching its highest level since May.
The decline in equities persisted despite a retreat in U.S. Treasury yields, which would typically improve the relative appeal of stocks. The 10-year Treasury yield was near 5.077%, down from its recent peak of around 5.4%.
The combination of weakening technology shares, uncertainty over AI spending and rising oil prices continued to weigh on investor confidence across global markets.
