U.S. Stock Futures Rebound and Stabilize
According to CNBC, U.S. stocks were dragged down by tech selling last week, with all three major indexes closing lower on the week. The S&P 500 and the Dow both fell less than 1%, while the Nasdaq fell about 2%. Concerns over AI infrastructure and corporate capital spending outlook heated up, weighing on tech stocks. However, U.S. stock futures rebounded this morning, with S&P 500 futures up 0.34%, Nasdaq 100 futures up 0.68%, and Dow futures up 0.3%, as market sentiment stabilized somewhat, providing support for Asian stocks in early trading.
Japanese and Korean Stocks Open Low and Move Higher
Korea's KOSPI opened down 1.39% before turning positive, last reported at 5,752.54, up 0.38%. Japan's Nikkei 225 also opened low and moved higher, last reported at 63,101.57, down 0.3%. According to Bloomberg, Japanese stocks were hit by U.S. tech selling pressure in early trading, with semiconductor stocks the main drag, including Ibiden and SUMCO posting heavier declines. Japanese memory maker Kioxia plunged about 14% to 15% in early trading on slowing NAND flash price gains and a weaker-than-expected profit outlook, further weighing on Japanese stocks.
Taiwan Stocks Narrow Losses After Plunging 812 Points
Taiwan stocks opened today at 45,034.53, down 177.3 points, before selling pressure expanded to an intraday low of 44,399.1, plunging 812.73 points or 1.8%. As bargain hunting emerged, the index gradually recovered, last reported at 44,712.34, down 499.49 points or 1.1%. The OTC index weakened in tandem, hitting an intraday low of 363.38 before narrowing its decline, last reported at 367.46, down 0.76%.
Asian Currencies Weaken Together, Focus on Nonfarm Data
On the currency front, major Asian currencies weakened together in early trading. The U.S. dollar against the New Taiwan dollar as of 9:07 a.m. was last reported at 32.62, with the New Taiwan dollar depreciating 1.42 jiao or about 0.44%, falling through the 32.6 level; the U.S. dollar rose to 157.82 against the yen, with the yen depreciating about 0.09%; the U.S. dollar rose to 1,338.1 against the Korean won, with the won depreciating about 0.34%. Among the three major Asian currencies, the New Taiwan dollar saw a relatively larger decline. Although Japanese and Korean stocks narrowed intraday losses, with Korean stocks even turning positive, currencies remained broadly weak, showing divergence between stocks and currencies, with Taiwan stocks staging a stock-currency double slump in early trading. Looking to this week, markets are focused on the U.S. midterm elections, the October nonfarm payrolls report, and corporate earnings. Markets estimate U.S. October nonfarm payrolls added about 55,000 jobs, with the results set to affect investor expectations for the economic outlook and the Fed's future policy.