Asian stocks fell more and rose less, as the market worries about the AI bubble and focuses on Nvidia's earnings report
Asian stock markets generally fell, as investors worried about the AI bubble and uncertainty surrounding U.S. interest rates. Tensions between China and Japan over Taiwan issues have intensified, leading to a gloomy market sentiment. Investors are focused on the earnings report of AI chip giant NVIDIA, fearing that poor performance could burst the AI bubble. Analysts at SPI Asset Management pointed out that AI was once a driving force behind the market's rise, but now shows signs of market peak thinning. Additionally, the market is paying attention to important U.S. economic data, especially the employment report, to gauge the Federal Reserve's future interest rate direction
(Agence France-Presse Hong Kong, 19th) As investors worry about the bubble fueled by artificial intelligence (AI) and the uncertainty of U.S. interest rate trends, Asian stock markets struggled today, with more declines than gains.
Tensions between China and Japan over Taiwan-related disputes have added to the market's gloomy sentiment. At the same time, investors are increasingly concerned that the rally driven by technology stocks this year may have peaked, with valuations at risk of becoming inflated and facing a significant correction. Global stock markets have performed poorly since November.
Market attention is focused on the upcoming earnings report from AI chip giant Nvidia. Investors fear that if Nvidia's earnings report shows weakness, it could burst the AI bubble. In recent months, there have been concerns that the hundreds of billions of dollars invested in the AI sector may have been excessive.
Stephen Innes, an analyst at SPI Asset Management, pointed out: "The AI craze was undoubtedly a locomotive driving the rally in 2025, but now it sounds like an engine stuck in the sand." He said, "This is not a crash, panic, or a real correction, but rather the market suddenly realizing the obvious signs of thin air at a high point."
Asian stock markets generally fell today, with Tokyo, Hong Kong, Sydney, Seoul, Taipei, and Wellington all closing lower. Conversely, the Shanghai, Singapore, and Manila stock markets closed higher.
In addition, the market is also focused on important economic data to be released in the U.S. this week, particularly the employment report, as investors hope to glean any clues about the future interest rate direction of the Federal Reserve
