Current:Home > FinanceStock market today: Asian shares mostly fall as dive for Big Tech stocks hits Wall St rally -AssetScope
Stock market today: Asian shares mostly fall as dive for Big Tech stocks hits Wall St rally
View
Date:2025-04-15 00:07:27
TOKYO (AP) — Asian shares were mostly lower Thursday, with Tokyo’s benchmark dipping more than 2%, after Wall Street’s record-breaking rally slammed into a wall of worries over potentially worsening trade tensions with China.
Japan’s Nikkei 225 index finished down 2.4% at 40,126.35.
The markets’ spotlight was squarely on chip companies after a report from Bloomberg News said President Joe Biden is considering the most severe trade restrictions available if companies like the Netherlands’ ASML and Japan’s Tokyo Electron continue to ship advanced semiconductor technology to China.
The U.S. government has blocked Chinese access to advanced chips and the equipment to make them, citing security concerns, and urged its allies to follow suit.
Tech-related shares weighed on Tokyo trading. Tokyo Electron’s shares plunged 8.9% and chip equipment maker Advantest’s shares sank 4.8%. Lasertec Corp. fell 6.3%.
The strengthening yen also added to worries about exporter shares in Japan, as a weak yen is a boon for the nation’s giant exporters like Toyota Motor Corp.
The U.S. dollar rose to 156.20 Japanese yen from 156.19 yen. It was trading above 161 yen most of last week but had fallen in recent sessions. The euro cost $1.0936, inching down from $1.0941.
The recent currency fluctuations are a result of U.S. politics taking “center stage,” according to Tan Jing Yi of Mizuho Bank. Former President Donald Trump has been expressing concerns about an overly strong dollar as a disadvantage for the U.S. since it makes American-made products relatively more expensive in overseas markets.
Japan posted a trade surplus in June, the first in three months, highlighting a recovery in exports, according to Finance Ministry data. For the first six months of this year, Japan’s trade deficit declined by more than half from the same period last year, to 3.23 trillion yen ($21 billion).
Elsewhere in Asia, Hong Kong’s Hang Seng gained 0.5% to 17,827.50. The Shanghai Composite index edged 0.3% higher to 2,972.94.
Investors are awaiting word on policies to help rev up China’s slowing economy as a top-level meeting of the ruling Communist Party wraps up in Beijing on Thursday.
Australia’s S&P/ASX 200 fell 0.3% to 8,036.50. South Korea’s Kospi declined 1.2% to 2,810.27.
Taiwan’s Taiex lost 1.6% as giant chip maker TSMC sank 2.4% after losing 8% overnight in U.S. trading.
Apart from concerns over further controls over sales of chips and equipment to China, Taiwan shares fell after Trump criticized the self-governed island claimed by Beijing, which the U.S. is obligated by treaty to defend if it is attacked.
“Taiwan should pay us for defense,” Trump said according to a transcript of an interview published by Bloomberg. “Taiwan took our chip business from us, I mean, how stupid are we?” he said.
Wednesday on Wall Street, losses for Nvidia and other Big Tech heavyweights dragged the Nasdaq composite to a 2.8% decline, its worst drop since 2022. It closed at 17,996.92.
The S&P 500 dropped 1.4% to 5,588.27.
Advanced Micro Devices fell 10.2%, and Broadcom dropped 7.9%.
The Dow Jones Industrial Average climbed 0.6% to 41,198.08.
That was a continuation of a recent trend that market watchers have called encouraging, one where more stocks are rising rather than just a handful of dominant elites. The smaller stocks in the Russell 2000 were coming off a big five-day winning streak on hopes that interest rates are about to get easier and the U.S. economy will avoid a recession, though the index fell 1.1% Wednesday to hand back some of the gains.
ASML saw its U.S.-traded shares drop 12.7% even though it reported sales for the spring that came in at the high end of its forecasted range.
Big Tech stock movements have an outsized effect on indexes like the S&P 500, which give more weight to companies of bigger size. That was a boon in recent years, when a small group of companies known as “the Magnificent Seven” soared almost regardless of what the overall economy and interest rates were doing. That helped mask underlying weaknesses as the economy struggled through high interest rates meant to snuff out inflation.
In energy trading, benchmark U.S. crude rose 82 cents to $83.67 a barrel. Brent crude, the international standard, gained 61 cents to $85.69 a barrel.
veryGood! (35)
Related
- Off the Grid: Sally breaks down USA TODAY's daily crossword puzzle, Triathlon
- Senate Majority Leader Schumer concludes annual tour of every NY county for 25th time
- 4 years in prison for Nikola Corp founder for defrauding investors on claims of zero-emission trucks
- Mold free: Tomatoes lost for 8 months on space station are missing something in NASA photo
- Justice Department, Louisville reach deal after probe prompted by Breonna Taylor killing
- G League player and girlfriend are arrested in killing of woman found dead near Las Vegas
- No, it's not your imagination, Oprah Winfrey is having a moment. Here's why.
- She bought a vase at Goodwill for $3.99. It was a rare piece that just sold at auction for more than $100,000.
- North Carolina trustees approve Bill Belichick’s deal ahead of introductory news conference
- Gogl-mogl: old world home remedy that may comfort — even if it doesn't cure
Ranking
- McConnell absent from Senate on Thursday as he recovers from fall in Capitol
- German railway operator Deutsche Bahn launches effort to sell logistics unit Schenker
- Taraji P. Henson says she's passing the 'Color Purple' baton to a new generation
- German court orders repeat of 2021 national election in parts of Berlin due to glitches
- 'As foretold in the prophecy': Elon Musk and internet react as Tesla stock hits $420 all
- Purdue back at No. 1 in the USA TODAY Sports men's college basketball poll
- West accuses Iran of illegally testing missiles, transferring drones to Russia, enriching uranium
- Remains found in LA-area strip mall dumpster identified as scion's alleged murder victim
Recommendation
Opinion: Gianni Infantino, FIFA sell souls and 2034 World Cup for Saudi Arabia's billions
UK offers a big financial package if Northern Ireland politicians revive their suspended government
Is black tea good for you? How about herbal? Here's what to know about health benefits.
Gérard Depardieu wax figure removed from Paris museum following allegations of sexual assault
Will the 'Yellowstone' finale be the last episode? What we know about Season 6, spinoffs
Mother gets life sentence for fatal shooting of 5-year-old son at Ohio hotel
Texas inmate serving life in prison for sexual abuse of minor recaptured by authorities
Georgia election workers file new complaint against Giuliani, days after $148 million award