Asian Stocks Fall as Nikkei Drops 3.6% on Tech Selling; Dollar and Oil Slip

As of about 10:50 AM IST (05:20 GMT), Wednesday 4 November 2026. Figures are attributed to the sources that published them; anything not independently confirmed is flagged.

Asian stocks fell on Wednesday 4 November, led by Japan, as investors sold technology and AI-linked shares and watched early vote counts in Washington. The dollar weakened, Treasury yields eased and oil prices slipped.

Markets at a glance

Source: AFP, around 03:40 GMT. Prices move quickly and may have changed.

Tokyo leads the decline

The Nikkei 225 fell 3.6% by the midday break, its lowest level since early May, AP reported. Tokyo was catching up with Tuesday's regional sell-off after being closed for the Culture Day holiday. A stronger yen also weighed on exporters.

• Memory chipmaker Kioxia plunged more than 13%, AFP said. AP linked part of the fall to its guidance.
• Advantest and OpenAI investor SoftBank Group each lost more than 8%.
• In Seoul, SK hynix fell as much as 3% and Samsung Electronics almost 2%. Moneycontrol and Bloomberg data showed the Kospi swinging from early gains to a loss of more than 3%, though readings varied through the session.
• Hong Kong's tech shares were weaker, with Alibaba and Xiaomi down more than 2% each, Moneycontrol reported.

Why markets fell

Investors remain worried about whether the huge spending on AI will pay off, AP and AFP said. Some analysts also said a Democratic-controlled Congress could bring tighter oversight of AI, chip exports and data-centre energy use. "AI regulation, chip export restrictions, and data centre energy policies could all be affected by the election outcome," Pepperstone strategist Dilin Wu said, quoted by Moneycontrol. These are analysts' views, not confirmed policy changes.

The prospect of a divided government weighed on the dollar and on Treasury yields. Bloomberg data reported by the Economic Times showed the 10-year Treasury yield down about four basis points to 4.92%, and S&P 500 futures down around 0.3%.

How Wall Street and Europe closed on Tuesday

• Wall Street: The Dow fell 0.4% to 51,786.72, AFP reported. The S&P 500 rose about 0.4% and the Nasdaq 100 about 0.7% as chipmakers rebounded, while Apple fell about 1.9%, according to a market briefing from Ethivo.
• Europe: The FTSE 100 fell 1.1% to 10,638.43. The DAX lost 0.45% and the CAC 40 0.34%, per the same briefing.
• After hours: AMD, Super Micro and Arista rose on strong results, while Skyworks fell about 16% on weak guidance, CNBC reported.

Oil and the Middle East

Oil extended Tuesday's drop. President Trump confirmed US strikes on Iran but played down talk of resuming bombing soon after the election, AFP reported. "We're locked and loaded if we need to go, but there may be no reason for it," he told the Financial Times. Iranian officials sent mixed signals, with President Masoud Pezeshkian saying Tehran still sought a solution "through dialogue".

What to watch

• Eurozone October flash inflation, due on Wednesday.
• The Bank of England's rate decision on Thursday, where a 25 basis point hike is widely expected, according to market briefings.
• US earnings, and how the final make-up of Congress affects bond and currency markets.

Related on HorizonDesk

• Asia stocks slip, oil eases: the week ahead (2 November)
• Asia stocks fall as Kospi drops 5%; BOJ holds
• Nasdaq falls 2.6% as chip stocks slide on AI spending fears

Disclaimer: This article is for general information only and is not financial or investment advice. Markets are volatile and past performance does not guarantee future results. Do your own research or consult a qualified financial adviser before making investment decisions.

Sources

• AFP: Stocks and dollar drop as Democrats enjoy big early wins
• AP: Asian shares fall on selling of tech shares
• Moneycontrol: Nikkei, Kospi fall as investors weigh US midterms
• Economic Times (Bloomberg): Global market today
• Ethivo Briefing: 4 November 2026
• CNBC: Stocks making the biggest moves after hours