Tokyo: Asian stock markets fell on October 20 as geopolitical tensions unsettled investors and oil prices resumed their rise ahead of major technology earnings.
South Korea recorded the steepest decline among key regional markets, while investors assessed the outlook for artificial intelligence spending and the wider global economy.
The MSCI Asia ex-Japan index dropped 0.93 percent. Japan’s Nikkei 225 declined 1.28 percent, while South Korea’s KOSPI fell 3.61 percent. The broad retreat reflected cautious sentiment as investors weighed political risks and awaited results from major technology companies.
Oil prices moved higher as markets assessed Donald Trump, the US President’s decision to waive certain sanctions and tariffs linked to Russian energy. Brent crude rose 0.21 percent to $109.78 a barrel, while US West Texas Intermediate gained 0.15 percent to $103.82. Spot gold moved in the opposite direction, falling 0.51 percent to $4,118.71 an ounce.
Currency movements were mixed. The dollar index edged down 0.05 percent to 101.92, while the euro gained 0.06 percent to $1.12 after falling 0.25 percent on October 20. The British pound rose 0.06 percent to $1.33. The Japanese yen weakened 0.03 percent to 158.57 per dollar.
Trump’s executive order, issued on October 16 , waived key Russia-related US sanctions and tariffs. The measures included duties on Russian goods and penalties for purchasing Russian oil and gas. However, Trump indicated on October 17 that a final decision had yet to be announced, leaving uncertainty over the policy’s implications for energy markets.
Investors are also turning their attention to corporate earnings for signs of resilience in consumer demand and the broader economy. Meta is scheduled to report results, followed later in the week by Tesla and chipmakers Lam Research and Texas Instruments. SpaceX results are also expected this week.
Meanwhile, South Korean AI infrastructure company Elice Group opened 16 percent below its initial public offering price on its market debut. The company raised 201.1 billion won ($151.12 million) through the offering.
Political unrest in France added to market concerns. Authorities imposed curfews in parts of Paris, Lille and Nice following a weekend of riots and looting linked to nationwide anti-government protests. The unrest supported demand for safe-haven assets as investors navigated an uncertain global outlook.
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