Stock market today: Nikkei, KOSPI fall from record highs on renewed Mideast tensions as Wall Street futures rise on tech strength
South Korea’s KOSPI remained the strongest performer in Asia for the week and was on track to gain more than 13 percent
Asian stock markets declined on Friday, with Japanese and South Korean markets retreating from record highs as renewed military clashes between the U.S. and Iran weakened hopes for an end to the conflict.
Regional markets followed a softer lead from Wall Street, which pulled back from all-time highs overnight after the U.S. military said it had intercepted attacks targeting three warships in the Strait of Hormuz.
However, broader losses remained limited, with S&P 500 futures rising 0.25 percent and Nasdaq futures gaining 0.39 percent as technology stocks continued to draw support from optimism surrounding artificial intelligence.
Asian stock markets set for strong weekly gains
Asian stock markets fell on Friday, weighed down by an escalation in U.S.-Iran military activity in the Strait of Hormuz, which dampened earlier optimism that a durable peace agreement between the two sides was within reach. Oil prices also surged, adding to market unease over the inflationary risks linked to the conflict.
In Japan, the Nikkei 225 fell 0.36 percent, and TOPIX dropped 0.54 percent. Strong wage data, showing real wages rising for a third consecutive month in March, also reinforced expectations that the Bank of Japan could soon move toward an interest rate hike. Despite Friday’s decline, the Nikkei was still on track to gain about 4 percent for the week.
In China, the CSI 300 Index and Shanghai Composite slipped 0.53 percent and 0.10 percent, respectively, though both remained more than 1 percent higher for the week. Hong Kong’s Hang Seng Index fell 1.12 percent but still posted nearly 2 percent weekly gains, supported by strength in technology stocks.
KOSPI set for over 13 percent weekly gain
In the South Korean stock market, the KOSPI index was among the weakest performers on Friday, falling 1.6 percent and extending its pullback from record highs reached earlier in the week.
Despite the decline, the index remained the strongest performer in Asia for the week and was on track to gain more than 13 percent, driven largely by strength in the country’s semiconductor sector. Optimism around artificial intelligence has boosted demand expectations for memory chips, supporting major producers.
Shares of Samsung Electronics fell 1.84 percent on Friday, while SK Hynix declined 0.06 percent after a week of record highs. Losses in SK Hynix were partly cushioned after reports that the company was receiving “unprecedented” offers from major technology firms seeking to secure memory chip supplies.
Australia’s S&P/ASX 200 dropped 1.63 percent and was flat on the week after the Reserve Bank of Australia raised interest rates by 25 basis points and warned that higher inflation could weigh on growth.
Elsewhere, Singapore’s Straits Times Index declined 0.59 percent, while futures for India’s Nifty 50 were broadly unchanged.
