Daily News
Asia Edges Lower as Kospi Loses 2.3%; Nasdaq Climbs More Than 1% as AI Trade Makes a Comeback; Gold Falls Toward $4,100 on Rate-Hike Expectations; Crude Steadies Above $98 Amid Middle East and Eastern Europe Tensions
20 October 2026
Today in Brief
Asia-Pacific markets were lower on Tuesday, with Japan’s Nikkei 225 down 0.79%, South Korea’s Kospi down 2.31%, Hong Kong’s Hang Seng down 1.11%, mainland China’s CSI 300 down 0.58% and Australia’s S&P/ASX 200 down 0.6%. On Wall Street Monday, the Nasdaq Composite added 1.11% to 26,430.89 and the S&P 500 gained 0.41% to 7,690.73, while the Dow slipped 36.38 points to 51,966.03 as traders moved back into tech following last week’s AI-related rout. Gold fell toward $4,100 an ounce on Tuesday as elevated oil prices heightened inflation concerns and reinforced expectations of tighter monetary policy, while crude oil steadied above $98 per barrel.
In other news: Vice President JD Vance declined to endorse Israeli Prime Minister Benjamin Netanyahu as Trump offered praise; Saudi Arabia postponed its Future Investment Initiative conference to 2027 as Houthi attacks on the kingdom escalate; French stocks, bonds and the euro fell on debt crisis fears; Secretary of State Marco Rubio is set to visit India with a trade deal and Russian oil on the agenda; a Micron union in Taiwan plans to strike as a bonus dispute escalates; 3M expanded its Amazon data centre partnership; Sea’s CEO said financial services arm Monee could go public; and S&P Global warned that top hyperscalers are likely to have more AI-linked debt than currently known.
In Asia, Japan’s Nikkei 225 declined 0.79% on Tuesday
In Asia, Japan’s Nikkei 225 declined 0.79% on Tuesday, while South Korea’s Kospi lost 2.31%. Australia’s S&P/ASX 200 traded 0.6% lower. Hong Kong’s Hang Seng Index fell 1.11%, while mainland China’s CSI 300 lost 0.58%. Tech last week suffered a rout that spilled over into the broader market, as concerns grew around companies borrowing too much money for their artificial intelligence build-outs.
Nasdaq climbs more than 1% as AI trade makes a comeback
The Nasdaq Composite rose on Monday as traders moved back into tech following last week’s artificial intelligence-related rout. The tech-heavy index added 1.11% to end at 26,430.89 while the S&P 500 gained 0.41% to close at 7,690.73. The Dow Jones Industrial Average finished the day at 51,966.03, slipping 36.38 points, or 0.07%. Intel advanced 2% after JPMorgan analysts upgraded their rating on the chipmaker. Advanced Micro Devices added 1.8%, and Micron Technology jumped about 3%. However, neocloud mainstay CoreWeave reversed course from earlier gains, falling 0.4%, even after receiving an upgrade at Goldman Sachs. The stock plunged more than 25% last week — its biggest one-week drop since November 2025 — over debt concerns. Traders were also keeping a wary eye on oil markets with ship attacks in the Persian Gulf picking up and Ukraine and Russia trading attacks on energy infrastructure.
Gold prices fell toward $4,100 per ounce on Tuesday, marking a third straight session of declines
Gold prices fell toward $4,100 per ounce on Tuesday, marking a third straight session of declines as elevated oil prices heightened inflation concerns and reinforced expectations of tighter monetary policy. The metal also faced pressure from a stronger US dollar and rising bond yields. Oil prices remained firm amid ongoing hostilities in the Middle East and Eastern Europe, while Iran continued to assert its control over the Strait of Hormuz. Meanwhile, the US Federal Reserve is widely expected to keep interest rates unchanged next week, with markets pricing in roughly a 94% probability of a rate hike in December. Elsewhere, the European Central Bank is expected to implement at least one additional 25-basis-point rate increase this year to address persistent inflationary pressures.
Crude oil prices steadied above $98 per barrel on Tuesday, holding recent gains
Crude oil prices steadied above $98 per barrel on Tuesday, holding recent gains as investors weighed escalating conflicts in the Middle East and Eastern Europe against signs of robust energy flows from the Persian Gulf. US Energy Secretary Chris Wright said Persian Gulf oil shipments had recovered to about 80% of pre-war levels, although refined-product deliveries remained limited. The Trump administration is also authorizing the sale of sanctioned oil tankers to enable them to transport crude legally, with the global “dark fleet” estimated at around 1,600 vessels. Meanwhile, Iran continued to assert control over the Strait of Hormuz, with maritime authorities reporting multiple attacks on commercial ships.
JD Vance refrains from endorsing Israeli leader Netanyahu as Trump offers praise
U.S. Vice President JD Vance declined to endorse Israeli Prime Minister Benjamin Netanyahu, after President Donald Trump offered his backing for the leader’s re-election bid next week. “The president has the most effective endorsement in American or international political history,” Vance said in an interview on Mark Halperin’s 2WAY Tonight published Monday. “I endorse American candidates, and that’s where I’m focused on in the midterms,” he said. Vance said he was not criticizing Netanyahu: “I’m not anti-endorsing him. I’m not pro-endorsing him,” he said, adding that “I’m not getting involved in Israeli elections.” Those remarks diverge from the approach by President Donald Trump, who gave the Israeli prime minister his backing in the election next week.
Saudi Arabia postpones big investor conference to 2027 as Iran-backed Houthis escalate attacks on kingdom
Saudi Arabia on Monday postponed its big annual investor conference until 2027 as Iran-backed Houthi militants have escalated missile and drone attacks on the kingdom in recent weeks. The Future Investment Initiative was originally scheduled to take place in the Saudi capital Riyadh from Oct. 26 to Oct. 29. “We will announce the new 2027 dates very soon,” the conference organizers said in a statement. The decision to postpone the conference comes after the Houthis attacked King Khalid International Airport in Riyadh on Oct. 10, leaving at least 12 people dead and more than 300 injured.
French unrest compounds debt crisis fears. Paris-listed stocks, bonds and the euro fall
Social unrest, political instability and mounting national debt weighed on French assets on Monday, with government bonds and Paris-listed stocks under pressure. The euro was last seen down 0.15% against the U.S. dollar, and was 0.1% lower against the British pound. The French 10-year bond yield jumped more than 10 basis points, taking it just shy of its highest level in decades. Higher yields represent higher borrowing costs for the government in the debt market. The country’s 2-year and 30-year yields were up 6 basis points and 8 basis points, respectively.
Rubio kicks off India visit with trade deal, Russian oil on agenda
US Secretary of State Marco Rubio will travel to India on Tuesday, days after President Donald Trump delayed tariffs on US imports from the world’s largest democracy as the two countries seek to finalize a trade deal. During the two-day visit to Mumbai and Jamnagar in western India, Rubio is slated to meet government and business leaders, including Foreign Minister S. Jaishankar and billionaire Mukesh Ambani, chairman of Reliance Industries, which operates the world’s largest refining complex at Jamnagar. Rubio and other officials have said in recent days that a comprehensive trade deal between the two nations is almost complete, raising the possibility that it could be signed during the secretary’s visit. Trump removed one potential stumbling block last Friday when he waived potential tariffs that would have punished New Delhi for the nation’s extensive Russian crude oil purchases.
Micron union in Taiwan to launch strike as bonus dispute escalates
A union representing Micron Technology workers in Taoyuan, Taiwan, said it would launch a strike on Thursday to coincide with a mediation meeting between the US chipmaker and another collective representing workers at its Taichung operations, escalating a dispute over employee bonuses. The strike raises the stakes in a labour dispute at one of Micron’s most important manufacturing hubs, where it produces DRAM and highbandwidth memory (HBM) chips, key components in AI servers. The Taoyuan union said the strike was intended to show solidarity with the Taichung union and to increase pressure on Micron to put forward a concrete profit-sharing proposal. Micron employs about 15,000 people in Taiwan, with separate unions representing workers at its Taoyuan and Taichung operations. The company has said it has invested more than T$1.6 trillion ($49 billion) on the island.
3M expands Amazon data centre partnership, shares gain
Industrial conglomerate 3M said on Monday it was expanding its commercial relationship with Amazon and had issued a warrant to an Amazon subsidiary, allowing it the right to buy 3M common stock worth over $521 million. Shares of 3M were up more than 5% in extended trading after the announcement. • 3M said it has issued a warrant to a wholly owned Amazon subsidiary, giving it the right to purchase up to 3.16 million 3M shares over the next seven years at $164.89 per share The agreement expands 3M’s commercial relationship with the e-commerce major at a time major technology companies are increasing spending on data-centre infrastructure to support AI and cloud-computing growth.
Sea’s CEO says financial services arm Monee could go public
Sea Ltd’s digital financial services arm Monee could pursue an initial public offering as the business expands, the Wall Street Journal reported on Tuesday, citing an internal memo from Chief Executive Forrest Li. Monee, which has been Sea’s fastest-growing business in recent quarters, is approaching a stage where it could operate independently, Li said in the memo marking the ninth anniversary of Sea’s listing on the New York Stock Exchange. Sea, one of Southeast Asia’s largest companies by market value, also operates e-commerce platform Shopee and gaming division Garena. Li said all three businesses were well-scaled, profitable and continuing to grow, crediting Sea’s public listing with providing capital and credibility while allowing more investors to participate in its growth, according to the WSJ report.
Top hyperscalers likely to have more AI-linked debt than now known, S&P Global warns
S&P Global estimates the world’s biggest tech firms are likely to have more AI-linked liabilities than currently known, although its top analyst for the sector sees no need to change any ratings at present. Debt issued by AI infrastructure providers and so-called ’neocloud’ firms such as Nvidia-backed CoreWeave has sunk to increasingly stressed levels in recent weeks amid concerns about the aggressive scale of their borrowing. S&P’s Global Head for Digital Infrastructure Mark Habib said the biggest risk to hyperscalers’ ratings remained whether expected profits fail to materialise. But he also highlighted so-called ’interconnected financing structures’, where hyperscalers effectively guarantee huge data centre builds, or smaller AI companies.