Asian Stocks Weaken, Samsung a Weigh
Asian stock markets weakened on Tuesday (July 7), pressured by a decline in technology stocks. The MSCI Asia Pacific Index fell 0.3%, with declining stocks slightly outnumbering advancing ones.
The main pressure came from Samsung Electronics shares, which fell more than 5% after releasing its earnings report. This despite Samsung's quarterly profit surging 19-fold thanks to strong demand for memory chips for artificial intelligence (AI)-powered data centers. However, investors appeared to remain cautious about valuations and the sustainability of the tech sector's rally.
South Korea's Kospi Index fell sharply by 3.5%, while SK Hynix shares fell 1% after the company began the official marketing process for its US listing. These movements indicate that the market is still assessing whether the boom in AI demand can truly sustain long-term profit growth.
In the commodity market, WTI oil prices moved below US$69 per barrel as signs of oversupply grew stronger. Pressure came from Saudi Arabia's oil price cuts and increased shipping traffic through the Strait of Hormuz. Meanwhile, the Japanese yen held steady at around 162.08 per US dollar, despite hedge funds recording their widest negative yen position since 2007.
The market is still awaiting new evidence that the AI trend can continue to support the performance of technology companies. In Asia, Japan's Topix rose 0.5%, Australia's S&P/ASX 200 fell 0.2%, Hang Seng futures edged up 0.1%, while Euro Stoxx 50 futures weakened 0.3%. Overall, investors remain selective while awaiting new direction from the technology sector, oil, and the Fed's interest rate policy. (asd)*
Source: Newsmaker.id
