Most Asian markets advance, but South Korean technology stocks fall
Bloomberg’s earlier market update put the MSCI Asia Pacific Index up about 0.4%, with Japan’s Topix and Australian shares higher. South Korea was the main exception. The figures reflect different market snapshots and timestamps, and intraday moves may change before final closing prices are recorded.
Oil plunges as traders anticipate a possible easing of the Iran conflict
Lower oil prices helped lift U.S. Treasury prices and push yields lower. The dollar also weakened. Investors considered whether a Democratic-controlled Congress could constrain the Trump administration’s ability to expand the deficit or pursue a more aggressive foreign policy. But no agreement with Iran has been confirmed, and the conflict has not formally ended.
AI and data-center investment face policy uncertainty
The U.S. election also weighed on parts of Asia’s technology sector. Democratic victories in Texas and Georgia raised concerns that the new Congress and state governments could increase scrutiny of AI, data-center construction and energy use. Semiconductor stocks in South Korea and Taiwan were among the weakest areas of the market.
Investors are concerned that new restrictions or permitting delays could slow the expansion of data centers, which have driven demand for advanced chips and server equipment. Demand for chips and cloud computing remains strong, while policy changes are more likely to affect project approvals, power arrangements and construction costs in specific regions.
Economic data will matter more than one election session
The reaction in Asia shows investors balancing relief over reduced political uncertainty with new questions about AI regulation and geopolitics. The S&P 500 rose 1.6% on November 4, while the Nasdaq gained 1.4%, helping improve sentiment in parts of Asia. Lower Treasury yields and a weaker dollar also provided support.
