Deepens

• Asian stock markets continued a sharp decline on Wednesday, July 29, driven by investor anxiety over artificial intelligence valuations and increased competition. • The selloff comes as markets anticipate critical earnings reports from major tech firms and an upcoming policy decision from the US Federal Reserve. • While broader regional trends were bearish, Hong Kong's Hang Seng index rose 1.5% and Nasdaq futures edged up 0.5% during Asian trading hours.

• Nvidia is expanding its AI infrastructure footprint by investing $1 billion in Naver Corp., a South Korean internet and cloud service provider. • The funding is earmarked for an AI data center currently under construction in South Korea, a project developed jointly with the US private equity firm Brookfield Corp. • This investment will enable Naver to more than triple the size of the facility, accelerating the deployment of AI capabilities in the region.

• Asia-Pacific markets experienced a stark divide on July 29, with South Korea's KOSPI plunging over 5% and triggering a circuit breaker. • The sell-off was driven by a crash in memory and chip equipment stocks, while Taiwan's market dropped below the 40,500 level. • Conversely, several regional markets hit record highs, including Singapore's Straits Times Index at 5,640 points and New Zealand's NZX 50 at 13,991 points.

• Semiconductor stocks experienced a significant selloff, with a Bloomberg gauge of chip shares plummeting 7.5% in its steepest decline since April 2025. • The rout was driven by reports of China making progress in advanced chipmaking and growing investor concerns regarding the sustainability of the AI spending boom. • Market volatility extended to the U.S., where Nasdaq 100 futures fell 1% as fears of "circular funding" within the AI sector intensified.

• South Korea's KOSPI index plummeted 7% on Tuesday, triggered by a deepening global selloff of semiconductor stocks. • Major industry leaders, including Samsung Electronics and SK Hynix, saw sharp declines in share prices, heavily impacting the broader market. • The downturn is attributed to a combination of global market volatility and intensifying competition from Chinese chipmakers.

• Asian stock markets tumbled as a broader sell-off in AI-related shares deepened, with the Shanghai Composite and CSI 300 falling 1.2% and 2.6%, respectively. • Sentiment in China was partially offset by the successful market debut of CXMT Corp and reports that domestic firms have developed immersion DUV lithography capabilities. • These developments are critical as Beijing aggressively pursues semiconductor self-sufficiency to reduce reliance on overseas technology and narrow the gap with global rivals.

• Major semiconductor stocks experienced a sharp sell-off, causing the MSCI AC Asia Pacific Index to approach a technical correction as investors exited AI-driven trades. • South Korea's Kospi plunged nearly 11%, driven by significant losses of over 13% for memory chip giants Samsung Electronics Co. and SK Hynix. • Japan’s Nikkei 225 and Taiwan’s Taiex also declined by approximately 4%, reflecting broader regional fears regarding China competition and circular funding.

• Asia stocks have tumbled due to a deepening AI rout and China's advancements in the chip industry. • Key companies such as Microsoft, Meta Platforms, Apple, and Amazon are set to release quarterly results amidst the market turmoil. • The Federal Reserve, Bank of Japan, and Bank of England are scheduled to make policy decisions, which may impact the market's direction.

• A deepening conflict has emerged between Han Dong-hoon and Jang Dong-hyuk, key figures within South Korea's main conservative People Power Party (PPP). • The tension follows Han Dong-hoon's victory in a parliamentary by-election for a northern Busan district on June 3. • The resolution of this internal squabble is considered critical as it will likely determine the future direction and stability of the PPP.

• The deadlock between the CJP and the government has intensified, leading to the announcement of nationwide protests scheduled for tomorrow. • Protesters have rejected a government offer to hold talks at the health minister's residence, while authorities suspended mobile internet services around Jantar Mantar. • In other news, Donald Trump has vowed to punish Iran for Houthi attacks in the Red Sea, contributing to oil prices surging over $100.

• Microsoft has signed a multibillion-dollar agreement with Mistral to expand AI infrastructure across Europe, providing Azure customers with French compute capacity and access to Mistral's latest models. • OpenAI has expanded its board of directors by appointing Nubank CEO David Vélez and BNY CEO Robin Vince. • These strategic moves signal Microsoft's deepening commitment to the European market and OpenAI's efforts to strengthen corporate governance.

• Asian markets showed mixed results as a deepening selloff in AI-linked tech stocks caused South Korea's Kospi to slide nearly 5%. • In contrast, Hong Kong's Hang Seng Index rose 2.1% to 25,105.78 and mainland China's Shanghai Composite Index gained 1.2% to 3,808.39. • TSMC recovered 2% after a previous 7.3% drop, following the company's announcement of a US$100 billion investment in US chipmaking operations.

• India is expanding its technology strategy beyond chip fabrication and assembly to include the development of semiconductor equipment, materials, and AI capabilities. • The initiative aims to build a comprehensive local ecosystem and strengthen global supply chains and trade partnerships to secure a larger role in the electronics sector. • This shift matters as India seeks to reduce dependency on foreign imports and establish itself as a diversified hub for high-tech manufacturing.

• Nasdaq 100 E-Mini futures (NQU26) dropped 1.61% this morning, driven by a deepening global selloff in semiconductor stocks and a decline in Netflix shares following a disappointing forecast. • Economic indicators for June are expected to show a downturn, with the import price index projected to fall 0.7% m/m and the export price index to decrease 0.4% m/m. • The market volatility comes as investors await earnings reports from other major companies, including regional bank Truist Financial and insurer Travelers (TRV).

• Asian equity markets plummeted on Friday, led by a deepening sell-off in artificial intelligence stocks and heightened geopolitical tensions in the Middle East. • Japan's Nikkei index suffered the steepest decline, sinking nearly 6%, while the Hang Seng Index (HSI) plunged 2% and Taiwan's markets also saw sharp drops. • The downturn was fueled by investor caution regarding AI valuations and rising oil prices, which subsequently pushed US futures lower.

• The military confrontation between the United States and Iran escalated on Tuesday as U.S. forces conducted their third consecutive night of strikes against Iranian targets. • In retaliation, Tehran claimed to have launched missile and drone attacks targeting U.S.-linked military facilities located in Bahrain and Jordan. • This cycle of aggression significantly increases the risk of a wider regional conflict, threatening stability across the Middle East.

• South Korea's KOSPI index triggered a circuit breaker as a significant selloff in AI-driven technology stocks swept across Asian markets. • Key industry players were impacted, with Taiwan Semiconductor Manufacturing slipping about 2% and Foxconn Technology Co Ltd easing roughly 1.6%. • The volatility follows preliminary earnings from Samsung Electronics, which failed to convince investors that memory-chip profits can sustain the massive capital spending required for AI.

• The ruling Democratic Party is engaged in a deepening debate over whether to completely remove prosecutorial supervision of police during criminal case investigations. • This issue has become a key agenda item leading up to the party's upcoming convention to elect a new leader. • Some lawmakers express concern that removing this oversight could leave police unchecked and increase the risk of corruption, while hawkish members argue the reform plan must proceed regardless.

• The Modi government plans to reintroduce legislation during the upcoming Monsoon Session to secure a 33% reservation for women in the Lok Sabha and state Assemblies. • The proposed constitutional amendment and Delimitation Bill aim to implement these quotas starting from the 2029 elections. • This move follows a previous attempt earlier this year that failed to achieve the necessary two-thirds majority in Parliament.

• Major technology stocks are experiencing a deepening selloff, though the S&P 500 remains up approximately 73% year-to-date. • The current market volatility is characterized as a "round-trip" of gains from the past month rather than a full-scale market crash. • Investors are questioning whether upcoming AI-related earnings reports can justify the sky-high valuations and expectations currently priced into the sector.

• US lawmakers are considering new restrictions to limit the adoption of Chinese-developed artificial intelligence models by American companies. • The House Committee on Homeland Security and the Select Committee on China launched a joint investigation in April to assess the risks of this tech integration. • As part of the probe, legislators have contacted firms such as Airbnb and Cursor to determine their level of exposure to Chinese-built AI systems.

• Asian stock markets declined as a deepening selloff in AI chips pressured regional indices, pushing South Korea's KOSPI close to a bear market. • While Chinese equities remained largely flat, Hong Kong’s Hang Seng and Singapore’s FTSE Straits Times bucked the trend, rising nearly 3% and 1% respectively. • Inflation data from Thailand, Taiwan, and the Philippines showed easing headline pressures, though firmer core inflation in the Philippines suggests a potential 25-basis-point rate hike on August 27.

Experts say the critical reservoir system is careening toward a breaking point as the US west’s climate warms and driesLake Powell, US’s second-largest reservoir, threatens to plunge to unprecedentedly low levels this year after a historically bleak snowpack failed to raise its water level, scientists and water experts have said, adding renewed urgency to stalled talks over how to conserve a water source depended on by tens of millions of people in the US south-west.The 185-mile Colorado River reservoir currently stands at about 23% of its capacity, or roughly 5.6m acre-feet. Lake Powell fell below that level for a few months three years ago. But those 2023 levels were recorded in the winter, when the reservoir straddling the Utah-Arizona border hits its lowest ebb. Spring runoff carried the level back up to 9.6m acre-feet by June, according to data from the US Bureau of Reclamation. Continue reading...

• Urumqi, the capital of the Xinjiang Uygur autonomous region, hosted the ninth China-Eurasia Expo from June 25 to June 29. • The event reached a record scale, featuring participation from 49 countries, regions, and international organizations, with 27 entities establishing dedicated pavilions. • Notable debuts included standalone exhibitions from the United Arab Emirates, South Korea, Russia, and Thailand, signaling an expansion of the expo's international "friend circle."

• Major Asian indices, including South Korea's KOSPI and Japan's Nikkei, declined as a global selloff in AI-related semiconductor chips intensified. • In contrast, Indonesia’s Jakarta Stock Exchange Composite Index climbed 1.8% and Nifty 50 Futures rose 0.4%, reflecting a mixed regional performance. • Positive economic indicators provided a buffer, with factory surveys showing resilient manufacturing activity across China, Japan, and Southeast Asia.

• Asian markets traded lower on Thursday, with South Korea's Kospi and Japan's Nikkei 225 both experiencing declines. • The downturn was primarily driven by a deepening global selloff in technology and chip stocks following a weak trading session on Wall Street. • Investor sentiment was further impacted by softer oil prices, which indicated a reduction in global supply concerns.

• Professor C. Raj Kumar, Founding Vice Chancellor of O.P. Jindal Global University (JGU), and MP Dr. Shashi Tharoor addressed the Japanese parliament. • The event took place on the eve of Japanese Prime Minister Sanae Takaichi's official visit to India to strengthen bilateral relations. • This engagement serves to deepen academic and diplomatic ties between India and Japan, highlighting the role of higher education in international cooperation.

• A recent audit has uncovered Rs 3.41 billion in financial irregularities within Pakistan's health sector, including fraud, embezzlement, and procurement violations. • Despite the scale of the mismanagement, only Rs 127.27 million has been recovered following the audit's intervention. • The audit warns that keeping public funds outside prescribed financial systems undermines fiscal transparency and significantly increases the risk of further misuse.