Asian Markets Slide as Oil Hits Four-Month Lows

The regional downturn saw MSCI’s broadest index of Asia-Pacific shares outside Japan shed 1.2%, with the Nikkei 225 retreating 1.4%. The sell-off was concentrated among chipmakers, marking a sharp reversal after a period of robust quarterly growth. Hong Kong’s Hang Seng index proved an outlier, managing a 0.9% gain despite the broader negative sentiment.

Energy markets faced renewed pressure as Brent crude fell 1% to its lowest level since July. This decline follows diplomatic developments involving U.S. President Donald Trump and Iran in Qatar, alongside reports of increased tanker traffic through the Strait of Hormuz. Meanwhile, Meta Platforms provided a counterbalance to the semiconductor slump, with shares jumping 9% on news of a strategic pivot toward cloud-based AI computing services. Wall Street futures show a modest 0.2% uptick, suggesting a cautious stabilization before the release of critical U.S. labor data.