Asian Shares Mixed As Tech Stocks Drag

Asian stocks ended mixed on Wednesday as concerns persisted about a potential artificial intelligence-driven market bubble and new data added to signs of a weakening U.S. labor market.

Gold steadied after three days of gains, while the dollar rebounded as Washington edged toward ending the record government shutdown.

The House of Representatives will vote today on a spending bill to solve the six-week standoff after the Senate on Monday passed a bill that will fund the government through January 30.

Oil prices drifted lower in Asian trading after gaining about $1 on Tuesday.

China’s Shanghai Composite Index finished marginally lower at 4,000.14 as investors shifted focus back to economic fundamentals.

China is due to release October credit data as well as other key retail sales, industrial output and investment reports this week.

Hong Kong’s Hang Seng Index advanced 0.9 percent to 26,922.73 a day after the People’s Bank of China said it would maintain “appropriately loose” monetary policy, keep liquidity ample and improve policy transmission.

Japanese markets rose after Sony raised its profit outlook. The Nikkei 225 Index gained 0.4 percent to end at 51,063.31, while the broader Topix Index settled 1.1 percent higher at 3,359.33.

Sony shares jumped 3.7 percent. Technology investor SoftBank Group lost 3.5 percent and Tokyo Electron, a global leader in semiconductor equipment manufacturing, fell 1.6 percent.

Seoul stocks rose sharply to extend gains for a third day running, driven by eased concerns over the U.S. government shutdown. The Kospi surged 1.1 percent to 4,150.39, with auto and energy stocks leading the surge. Hyundai Motor gained 2.4 percent and SK Innovation added 3.4 percent.

Australian markets ended lower as investors fretted over lofty tech valuations. Lithium miners drove commodity stocks higher, helping limit losses in the broader market.

The benchmark S&P/ASX 200 Index dipped 0.2 percent to 8,799.50, while the broader All Ordinaries Index closed down 0.2 percent at 9,079.40.

Commonwealth Bank of Australia tumbled 3.1 percent to extend losses from the previous session after warning of margin pressures.

Across the Tasman, New Zealand’s benchmark S&P/NZX 50 Index rose 0.5 percent to close at a record high of 13,671.73 points.

U.S. stocks ended mixed overnight as jitters about AI-related stocks offset reports of progress toward ending the longest government shutdown in U.S. history.

Adding to signs of a deteriorating labor market, a weekly update of ADP’s preliminary payroll figures showed that private employers shed an average of 11,250 jobs a week in the four weeks ending October 25.

Meanwhile, U.S. President Donald Trump warned of an economic and national security disaster if the Supreme Court ruled against his use of an emergency powers to impose sweeping tariffs.

The Dow rallied 1.2 percent to notch a record close amid expectations that the shutdown will end this week.

The S&P 500 rose 0.2 percent, while the tech-heavy Nasdaq Composite shed 0.3 percent after Japan’s SoftBank Group sold its entire stake in Nvidia for $5.83 billion to help bankroll AI investments.