Asian markets dropped after early projections indicated that Democrats would regain control of the US House of Representatives, with a Senate majority also considered likely. Futures on all major US stock indexes fell as investors reacted to the election results and concerns about the pace of AI development.
The Nikkei’s steep decline also reflected a holiday in Japan on Tuesday, which delayed the market’s response to Monday’s losses in semiconductor and AI stocks. US election developments contributed to the sell-off, according to the market moves described in the report.
Tokyo shares initially edged higher on Wednesday morning after better-than-expected results from US chipmaker AMD. The market then reversed course and fell sharply as confidence in artificial intelligence weakened again.
Sources: Handelsblatt.