- Hong Kong’s Hang Seng Index rose slightly, while Japan and Australia saw losses.
- India’s financial markets rallied on RBI measures to boost liquidity.
- The tech sector in Japan faced significant setbacks due to AI concerns.
Hong Kong’s stock market ended the trading day on a positive note, with the Hang Seng Index rising 0.14%, even though the market was only open for half the day due to the Lunar New Year holiday.
In Japan, the Nikkei 225 suffered a 1.39% loss, primarily driven by concerns about DeepSeek, a Chinese AI startup posing a challenge to America’s AI leadership.
Global Markets Respond Differently to Tech Woes, India’s Financial Stocks Surge
Financial markets in India showed a strong performance as the BSE Sensex surged by over 800 points, largely driven by the Reserve Bank of India’s announcement of measures to inject liquidity into the financial system. The Bank Nifty rose significantly, bolstered by banking stocks such as Shriram Finance, Axis Bank, and Bajaj Finance.
Despite the positive momentum in India, global markets had mixed results. While Hong Kong’s market posted a modest gain, Japan’s Nikkei 225 and Australia’s S&P/ASX 200 saw losses. The tech sector, particularly semiconductor stocks in Japan, was hit hard by the implications of DeepSeek’s challenge to U.S. dominance in AI.
The performance of financial stocks across various regions stood out, with India’s banking and financial sectors leading the charge. In contrast, technology-heavy stocks in Japan faced significant selling pressure. The Indian market’s strength was reflected in the performance of key stocks like HDFC Bank and Tata Motors.
The broader market in India showed a mixed trend, with the number of declining stocks outnumbering advancers. The negative market breadth and substantial losses in some stocks like Sun Pharma and NTPC were a contrast to the rally in the financial sector.
While financial sectors in India and Hong Kong showed positive momentum, global concerns surrounding AI’s impact on tech companies weighed heavily on markets like Japan.
“The future of technology is always evolving, but with it comes new challenges that can disrupt entire industries.”
