Updated
Updated · Reuters · Jun 5
Asian Stocks Slide as Kospi Sinks 6% and Oil Holds Near $95
Updated
Updated · Reuters · Jun 5

Asian Stocks Slide as Kospi Sinks 6% and Oil Holds Near $95

3 articles · Updated · Reuters · Jun 5

Summary

  • MSCI's Asia-Pacific index outside Japan fell 1.6% on Friday, with South Korea's tech-heavy Kospi down more than 6% and Japan's Nikkei off 1.3%.
  • Broadcom's underwhelming results punctured this week's AI-driven rally, prompting investors to take profits in chip shares and cut risk before the weekend.
  • Middle East tensions added to the defensive mood after Hezbollah rejected a new Lebanon ceasefire and Israel said it would not withdraw troops, leaving U.S.-Iran peace efforts in limbo.
  • Brent crude held near $95 a barrel and was set for a weekly gain of more than 3%, while U.S. crude was on track to rise more than 6% as traders weighed the risk of prolonged supply disruption.
  • U.S. nonfarm payrolls due later Friday are the next test for markets, with forecasts for 85,000 jobs and an unchanged 4.3% unemployment rate.

Insights

With record GDP growth, why is South Korea's stock market suddenly crashing?
After the Broadcom shock, is the great AI stock market rally finally over?
Is the global AI chip boom built on a fragile foundation of Middle Eastern oil?