Asia stocks tumble as AI spending concerns deepen; BOJ holds rates

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Asia stocks tumble as AI spending concerns deepen; BOJ holds rates Ayushman Ojha Fri, October 30, 2026 at 12:06 AM EDT 3 min read GOOG -12.29% AMZN -4.25% INTC -3.62% 005930.KS -4.96% SKHY -1.58% Investing.com-- Asian stocks tumbled on Friday, with artificial intelligence-related shares leading losses after disappointing results from U.S. technology companies, while the Bank of Japan held interest rates steady as expected. Still guessing which stocks will beat the market? Our AI portfolio updates monthly and is outperforming the S&P 500 by 118%. See this month's list » The selloff followed a sharp decline on Wall Street, where Alphabet (NASDAQ:GOOGL) shares plunged after its quarterly results disappointed investors and renewed questions about the profitability of AI-related spending. Losses deepened in extended trading after Amazon (NASDAQ:AMZN) and Intel Corporation (NASDAQ:INTC) reported results that highlighted mounting investment requirements and challenges in parts of their businesses. Nasdaq 100 Futures dropped more than 2% in Asian trading by 03:16 GMT. South Korea's KOSPI slumped more than 5%, with chipmakers Samsung Electronics (KS:005930) and SK Hynix Inc (KS:000660) among the biggest drags. Japan's Nikkei 225 fell 2.8%, while the broader TOPIX lost 1.3%. Chip stocks led losses, with Advantest (TYO:6857) falling 7%, Lasertec Corp (TYO:6920) plunging 13%, and Kioxia Holdings (TYO:285A) dropping nearly 9%. SoftBank Group (TYO:9984), a major investor in AI ventures, slid more than 6%. The reaction underscored a shift in investor sentiment, with markets increasingly demanding evidence that heavy spending on data centres, advanced processors and AI infrastructure can translate into sustainable revenue growth and cash flow. Unsure what to buy ahead of earnings? Our AI's recent pre-earnings calls delivered gains of +77% to +118% after results dropped. See this month's earnings picks » South Korea's market came under particular pressure as investors reassessed the outlook for memory chips, despite strong underlying demand from AI data centres. Samsung Electronics extended its losses following its quarterly results, while SK Hynix fell sharply after its recent rally. Elsewhere, markets were mixed. China's Shanghai Composite and the blue-chip Shanghai Shenzhen CSI 300 fell 0.8% each. Hong Kong's Hang Seng rose 1.5%, proving more resilient than regional technology markets. Australia's S&P/ASX 200 rose 0.4%, while Singapore's Straits Times Index slipped 0.5%. Futures tied to India's Nifty 50 edged 0.3% lower. The Bank of Japan kept its policy rate unchanged at 1.25% on Friday, following its September increase, as investors awaited Governor Kazuo Ueda's comments and the central bank's latest economic forecasts for clues on the timing of further tightening. Markets have been watching for indications that underlying inflation is sustainably approaching the BOJ's 2% target, which could strengthen the case for another rate hike as early as December. Data on Friday showed that Tokyo's core consumer price index rose 2.6% year-on-year in October, matching economists' expectations. The figures reinforced expectations that the BOJ could resume rate increases in the coming months, even as it held rates steady on Friday. Investors also remained alert to elevated oil prices and geopolitical tensions, which have added to inflation concerns and complicated the outlook for global monetary policy. Asia stocks tumble as AI spending concerns deepen; BOJ holds rates Anthropic accounts for over a third of SpaceX revenue in Q3, Bloomberg reports U.S. stock futures sink, Nasdaq down 2% as Amazon, Intel earnings underwhelm

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