Market Update
Japan's Indexes Eased to One-Month Low Amid Escalating Tensions in the Middle East
Akira Ito
14 Jul, 2026
Tokyo
Japan's stocks came under pressure amid escalating tensions in the Middle East and renewed skepticism over the AI trade.
The Nikkei 225 Stock Average decreased 0.5%, and the broader TOPIX edged higher by 0.3% as investors feared prolonged supply chain disruptions in the Strait of Hormuz.
The Brent crude oil price rose 1.8% to $84.59 a barrel as the U.S. and Iran reimposed their dual blockade in the narrow passageway used by several oil-producing Gulf nations.
The sharp sell-off in advanced chipmakers in overnight trading in New York also weighed on the market sentiment amid renewed worries that the current level of AI infrastructure investment is likely to end faster than previously expected.
Moreover, investors are worried that the latest run in AI-related stocks is way ahead of market fundamentals, and future corporate earnings are likely to level off or fall off sharply as hyperscalers cut their investment spending.
Japan Indexes and Stocks
The Nikkei 225 Stock Average decreased 0.5% to 66,919.40, and the broader TOPIX advanced 0.3% to 4,018.51.
Kioxia Holdings declined 3.3% to ¥64,870.0, Taiyo Yuden dropped 4.6% to ¥11,350.0, Murata Manufacturing decreased 4.4% to ¥8,665.0, and Fujikura Ltd. fell 6.4% to ¥4,695.0.
China's Exports Growth Accelerated In June Driven by AI Boom and Pre-Tariff Rush
Li Chen
14 Jul, 2026
Hong Kong
Stocks in China traded mixed amid rising geopolitical uncertainty and ahead of the release of the second-quarter economic growth estimate.
The Hang Seng Index declined 0.8%, and the mainland-focused CSI 300 Index declined 0.5% as investors reviewed another down day in global AI-related stocks.
Memory chipmakers and other advanced semiconductor-related stocks faced selling pressure amid worries that prices are ahead of near-term fundamentals, and they could search for lower lows.
Brent crude oil prices rose 1.8% to $84.72 a barrel after the U.S. and Iran stepped up military exchanges over the Strait of Hormuz.
Commercial shipping traffic has come to a near standstill as the U.S. and Iran sent conflicting signals, and the U.S. imposed a 20% fee for safe passage through the narrow passageway.
China's Exports Surge, Overcoming Global Tensions In June
China's exports and imports soared in June as foreign and domestic customers ramped up purchases amid heightened geopolitical uncertainty.
China's exports advanced 27% to $412.4 billion, and imports expanded 36% to $286.8 billion, resulting in an increase in the trade surplus to $125.6 billion from $105.4 billion in the previous month.
In the first half, exports increased 17.6% to $2.1 trillion and imports advanced 26.6% from a year ago, respectively, according to the latest data released by the General Administration of Customs on Tuesday.
Direct exports to the U.S. increased by 13.9%, exports to ASEAN advanced by 34.6%, and exports to the European Union expanded by 18.5%.
The stable supplies to the Middle East, the AI boom, and the rush ahead of potential new U.S. tariffs all contributed to the sharp rise in shipments, while higher commodity prices increased the total import bill.
Shipments of automobiles soared 53%, integrated circuits increased 7%, and LCD flat-panel modules jumped 10.7%; however, exports of rare earth decreased by 6.4%, refined products by 13.2%, and steel by 5.6%.
China Indexes and Stocks
The Hang Seng Index fell 0.8% to 24,019.92, and the mainland-focused CSI 300 Index decreased 0.5% to 4,672.26.
China Construction Bank decreased 0.1%, China CITIC Bank increased 0.9%, Bank of China declined 0.6%, and ICBC fell 0.3%.
SMIC fell 4.4%, Tencent Holdings decreased 1.3%, and Alibaba Group Holding declined 2.2%.
China's Exports Growth Accelerated In June Driven by AI Boom and Pre-Tariff Rush
Li Chen
14 Jul, 2026
Hong Kong
Stocks in China traded mixed amid rising geopolitical uncertainty and ahead of the release of the second-quarter economic growth estimate.
The Hang Seng Index declined 0.8%, and the mainland-focused CSI 300 Index declined 0.5% as investors reviewed another down day in global AI-related stocks.
Memory chipmakers and other advanced semiconductor-related stocks faced selling pressure amid worries that prices are ahead of near-term fundamentals, and they could search for lower lows.
Brent crude oil prices rose 1.8% to $84.72 a barrel after the U.S. and Iran stepped up military exchanges over the Strait of Hormuz.
Commercial shipping traffic has come to a near standstill as the U.S. and Iran sent conflicting signals, and the U.S. imposed a 20% fee for safe passage through the narrow passageway.
China's Exports Surge, Overcoming Global Tensions In June
China's exports and imports soared in June as foreign and domestic customers ramped up purchases amid heightened geopolitical uncertainty.
China's exports advanced 27% to $412.4 billion, and imports expanded 36% to $286.8 billion, resulting in an increase in the trade surplus to $125.6 billion from $105.4 billion in the previous month.
In the first half, exports increased 17.6% to $2.1 trillion and imports advanced 26.6% from a year ago, respectively, according to the latest data released by the General Administration of Customs on Tuesday.
Direct exports to the U.S. increased by 13.9%, exports to ASEAN advanced by 34.6%, and exports to the European Union expanded by 18.5%.
The stable supplies to the Middle East, the AI boom, and the rush ahead of potential new U.S. tariffs all contributed to the sharp rise in shipments, while higher commodity prices increased the total import bill.
Shipments of automobiles soared 53%, integrated circuits increased 7%, and LCD flat-panel modules jumped 10.7%; however, exports of rare earth decreased by 6.4%, refined products by 13.2%, and steel by 5.6%.
China Indexes and Stocks
The Hang Seng Index fell 0.8% to 24,019.92, and the mainland-focused CSI 300 Index decreased 0.5% to 4,672.26.
China Construction Bank decreased 0.1%, China CITIC Bank increased 0.9%, Bank of China declined 0.6%, and ICBC fell 0.3%.
SMIC fell 4.4%, Tencent Holdings decreased 1.3%, and Alibaba Group Holding declined 2.2%.
Broader Indexes Slides as Global Chipmakers Face Growing Skepticism
Barry Adams
13 Jul, 2026
New York City
Stocks on Wall Street traded down on Monday amid growing uncertainty in the Middle East and lingering concern about the stretched valuations of the AI-related stocks.
The S&P 500 Index decreased 0.3%, and the tech-heavy Nasdaq Composite declined 0.9% following another day of sell-off in memory stocks.
SK Hynix dropped as much as 9% in early trading following South Korean chipmakers' U.S. debut on Friday, when it soared 13%.
Investors are increasingly questioning the recent run in stock prices of AI-linked stocks and whether the demand boom for memory modules justifies the current rally.
While AI spending by hyperscalers remains enormous, questions on the scale of investment, lagging returns, and financing costs have begun to weigh on the entire sector.
Memory makers are certainly hoping that the latest business cycle is likely to extend several more years by locking customers into longer-term contracts.
However, the circular financing is likely to weigh on chipmakers' earnings in 2027 and beyond, and investors are wondering if all of the future growth is already reflected in current valuations.
Crude oil prices increased 3.5% to $73.65 a barrel as the U.S. and Iran exchanged fire over the Strait of Hormuz. The sharp escalation in fighting over the weekend supported the worry that energy-product supply disruption is likely to last longer than previously estimated.
Later in the week, investors are awaiting the release of earnings from major banks and brokerage houses—including JPMorgan Chase, Citigroup, Bank of America, Wells Fargo, Morgan Stanley, and Goldman Sachs.
Johnson & Johnson, Netflix, and UnitedHealth are scheduled to release their quarterly updates.
About 27 S&P 500 companies are scheduled to release their quarterly results later this week.
On the economic front this week, investors are awaiting the release of inflation and consumer sentiment and comments from Fed Chair Kevin Warsh.
Broader Indexes Slides as Global Chipmakers Face Growing Skepticism
Barry Adams
13 Jul, 2026
New York City
Stocks on Wall Street traded down on Monday amid growing uncertainty in the Middle East and lingering concern about the stretched valuations of the AI-related stocks.
The S&P 500 Index decreased 0.3%, and the tech-heavy Nasdaq Composite declined 0.9% following another day of sell-off in memory stocks.
SK Hynix dropped as much as 9% in early trading following South Korean chipmakers' U.S. debut on Friday, when it soared 13%.
Investors are increasingly questioning the recent run in stock prices of AI-linked stocks and whether the demand boom for memory modules justifies the current rally.
While AI spending by hyperscalers remains enormous, questions on the scale of investment, lagging returns, and financing costs have begun to weigh on the entire sector.
Memory makers are certainly hoping that the latest business cycle is likely to extend several more years by locking customers into longer-term contracts.
However, the circular financing is likely to weigh on chipmakers' earnings in 2027 and beyond, and investors are wondering if all of the future growth is already reflected in current valuations.
Crude oil prices increased 3.5% to $73.65 a barrel as the U.S. and Iran exchanged fire over the Strait of Hormuz. The sharp escalation in fighting over the weekend supported the worry that energy-product supply disruption is likely to last longer than previously estimated.
Later in the week, investors are awaiting the release of earnings from major banks and brokerage houses—including JPMorgan Chase, Citigroup, Bank of America, Wells Fargo, Morgan Stanley, and Goldman Sachs.
Johnson & Johnson, Netflix, and UnitedHealth are scheduled to release their quarterly updates.
About 27 S&P 500 companies are scheduled to release their quarterly results later this week.
On the economic front this week, investors are awaiting the release of inflation and consumer sentiment and comments from Fed Chair Kevin Warsh.
Tokyo Stocks Extended Weekly Gains, Japan's PPI Surged to Over 3-Year High In June
Akira Ito
10 Jul, 2026
Tokyo
Japan's indexes rebounded on Friday and trimmed weekly losses, driven by buoyant investor sentiment towards technology- and semiconductor-related stocks.
The Nikkei 225 Stock Average gained nearly 2%, the broader TOPIX advanced 0.8%, and the yen strengthened to 161.63 against the U.S. dollar.
The easing of crude oil prices also supported the market rally, helping curb inflation concerns and lowering pressure on Japan's energy import-dependent economy.
The yield on Japan's benchmark 10-year government bond edged lower to 2.79%, after briefly surpassing 2.9%
Japan's Producer Price Inflation Accelerated to 3-Year High In June
However, Japan's producer prices accelerated to their fastest pace in more than three years, confirming persistent cost pressures linked to the Middle East conflict and disruptions of supply chains in the Strait of Hormuz.
Japan's producer price inflation accelerated to an annual pace of 7.1% in June from the upwardly revised 6.6% in the previous month, according to the Bank of Japan.
The wholesale inflation measure rose at the fastest pace since March 2023, driven by persistent higher fuel prices linked to the conflict in the Middle East and lingering supply chain disruptions.
The persistent increase in oil and derivative products is seeping into wider sectors of the economy as the imported-oil-dependent Japan scrambles to seek alternative sources amid higher shipping costs.
The price increases initially visible among products directly linked to crude oil are starting to spread to consumer goods, a Bank of Japan official said.
Inflation for petroleum and coal accelerated to 22.8% from 13.7%, chemicals advanced to 14.4% from 14.3%, and information and communications advanced to 14.5% from 13.7% in the previous month, respectively.
Overall, import prices jumped 29.7% from a year ago, the largest pace of annual increase since the gain of 42.3% in October 2022, supported by a weaker yen.
Japan Indexes and Stocks
The Nikkei 225 Stock Average gained 1.9% to 69,056.76, and the broader TOPIX advanced 0.8% to 4,051.27.
Technology stocks led gainers in Friday's trading in Tokyo.
Kioxia Holdings jumped 2.1% to ¥79,510.0, Murata Manufacturing advanced 4% to ¥9,848.0, Tokyo Electron added 3.1% to ¥73,250.0, and Advantest Corp. increased 3.2% to ¥30,120.0.
Tokyo Stocks Extended Weekly Gains, Japan's PPI Surged to Over 3-Year High In June
Akira Ito
10 Jul, 2026
Tokyo
Japan's indexes rebounded on Friday and trimmed weekly losses, driven by buoyant investor sentiment towards technology- and semiconductor-related stocks.
The Nikkei 225 Stock Average gained nearly 2%, the broader TOPIX advanced 0.8%, and the yen strengthened to 161.63 against the U.S. dollar.
The easing of crude oil prices also supported the market rally, helping curb inflation concerns and lowering pressure on Japan's energy import-dependent economy.
The yield on Japan's benchmark 10-year government bond edged lower to 2.79%, after briefly surpassing 2.9%
Japan's Producer Price Inflation Accelerated to 3-Year High In June
However, Japan's producer prices accelerated to their fastest pace in more than three years, confirming persistent cost pressures linked to the Middle East conflict and disruptions of supply chains in the Strait of Hormuz.
Japan's producer price inflation accelerated to an annual pace of 7.1% in June from the upwardly revised 6.6% in the previous month, according to the Bank of Japan.
The wholesale inflation measure rose at the fastest pace since March 2023, driven by persistent higher fuel prices linked to the conflict in the Middle East and lingering supply chain disruptions.
The persistent increase in oil and derivative products is seeping into wider sectors of the economy as the imported-oil-dependent Japan scrambles to seek alternative sources amid higher shipping costs.
The price increases initially visible among products directly linked to crude oil are starting to spread to consumer goods, a Bank of Japan official said.
Inflation for petroleum and coal accelerated to 22.8% from 13.7%, chemicals advanced to 14.4% from 14.3%, and information and communications advanced to 14.5% from 13.7% in the previous month, respectively.
Overall, import prices jumped 29.7% from a year ago, the largest pace of annual increase since the gain of 42.3% in October 2022, supported by a weaker yen.
Japan Indexes and Stocks
The Nikkei 225 Stock Average gained 1.9% to 69,056.76, and the broader TOPIX advanced 0.8% to 4,051.27.
Technology stocks led gainers in Friday's trading in Tokyo.
Kioxia Holdings jumped 2.1% to ¥79,510.0, Murata Manufacturing advanced 4% to ¥9,848.0, Tokyo Electron added 3.1% to ¥73,250.0, and Advantest Corp. increased 3.2% to ¥30,120.0.
China Indexes Extended Weekly Gains Ahead of Key Economic Releases
Li Chen
10 Jul, 2026
Hong Kong
China's indexes advanced on Friday as investors searched for bargains in the recently beaten-down semiconductor- and AI-linked stocks.
The Hang Seng Index increased 1.8%, and the mainland-focused CSI 300 Index gained 0.5% as investors awaited the release of a barrage of key economic data next week.
China's statistical bureau is set to release monthly updates on international trade, retail sales, industrial production, second-quarter GDP growth, and the urban jobless rate.
Market sentiment recovered towards the semiconductor-related stocks following the strong demand for the U.S. public offering of South Korea's SK Hynix, one of the three leading memory companies in the world.
ChangXin Memory Technologies, or CXMT, set July 16 as its subscription date for the listing of its share on the Shanghai Stock Exchange.
The Anhui-based DRAM maker is set to raise as much as 29.5 billion yuan, or $4.3 billion, and the company plans to sell 6.7 billion new shares, representing 10% of its enlarged share capital.
The global DRAM market remains highly concentrated, and Micron Technology, Samsung Electronics, and SK Hynix account for 90% of the global market in 2025.
CXMT holds 7.7% of the global market in the final quarter of 2025, according to the company's prospectus quoting Omdia data.
China Indexes and Stocks
The Hang Seng Index increased 1.8% to 24,455.57, and the mainland-focused CSI 300 Index advanced 0.5% to 4,900.20.
For the week, the Hang Seng Index soared 4.5%, and the mainland-focused CSI 300 Index advanced 0.7%.
Hygon International gained 3.3%, NAURA Technology decreased 0.9%, Eoptolink Technology advanced 1.3%, and SMIC jumped 3.9%.
China Indexes Extended Weekly Gains Ahead of Key Economic Releases
Li Chen
10 Jul, 2026
Hong Kong
China's indexes advanced on Friday as investors searched for bargains in the recently beaten-down semiconductor- and AI-linked stocks.
The Hang Seng Index increased 1.8%, and the mainland-focused CSI 300 Index gained 0.5% as investors awaited the release of a barrage of key economic data next week.
China's statistical bureau is set to release monthly updates on international trade, retail sales, industrial production, second-quarter GDP growth, and the urban jobless rate.
Market sentiment recovered towards the semiconductor-related stocks following the strong demand for the U.S. public offering of South Korea's SK Hynix, one of the three leading memory companies in the world.
ChangXin Memory Technologies, or CXMT, set July 16 as its subscription date for the listing of its share on the Shanghai Stock Exchange.
The Anhui-based DRAM maker is set to raise as much as 29.5 billion yuan, or $4.3 billion, and the company plans to sell 6.7 billion new shares, representing 10% of its enlarged share capital.
The global DRAM market remains highly concentrated, and Micron Technology, Samsung Electronics, and SK Hynix account for 90% of the global market in 2025.
CXMT holds 7.7% of the global market in the final quarter of 2025, according to the company's prospectus quoting Omdia data.
China Indexes and Stocks
The Hang Seng Index increased 1.8% to 24,455.57, and the mainland-focused CSI 300 Index advanced 0.5% to 4,900.20.
For the week, the Hang Seng Index soared 4.5%, and the mainland-focused CSI 300 Index advanced 0.7%.
Hygon International gained 3.3%, NAURA Technology decreased 0.9%, Eoptolink Technology advanced 1.3%, and SMIC jumped 3.9%.