Asian Market Today: Sea of Red Following Wall Street Sell-Off

In today’s trading, the Asian stock market experienced its steepest decline since 2022 with the Japanese markets bearing the brunt of regional losses. 

Japanese markets saw the largest losses since 2020, influenced by worries about the rising interest rates. The Nikkei 225 average index plummeted by 5.81% to close at 35,909.70, making its second-largest drop in history as technology stocks faced massive declines and a strengthening yen dimmed the prospects for the country’s exporters. 

Among the constituents of the Nikkei 225 index, Daiwa Securities Group Inc. experienced the largest drop, with shares plunging 18.8%. Shares of semiconductor firms SCREEN Holdings Co. Ltd. and Socionext Inc. also saw significant declines, falling 13.9% and 13.1% respectively. 

In contrast, NH Foods Ltd., a meat processing company in Japan recorded the largest increase, with shares rising 7.1% on Friday. Game software firm Konami Group Corp. and Astellas Pharma Inc.’s shares increased by 3.3% and 1.5% respectively. 

The broader Topix index ended 6.14% lower at 2,537.60 amid widespread selling. 

China’s Shanghai Composite Index also dropped 0.92% to 2,905.34 due to ongoing concerns about the country’s economic outlook. 

Hong Kong’s Hang Seng index fell 2.08% to 16,945.51, driven by a global tech sell-off and fears of a US recession. Wharf Real Estate Investment Co. Ltd., saw the largest decrease among the Hang Seng Index constituents, with shares falling by 4.9%. Shares of e-commerce firm Meituan and gambling industry company Galaxy Entertainment Group Ltd. weakened by 4.8% and 4.6% respectively. 

Seoul stocks plummeted, with the Kospi average dropping 3.65% to 2,676.19 following declines in tech and semiconductor stocks. Samsung Electronics fell 4.2%, while SK Hynix plunged 10.4%.

In Australia, the S&P/ASX 200 decrweased by 2.11% to 7,943.20, led by declines in miners and financials.