Asian equity markets recovered on Monday, 9 November 2026, after last week's technology-led slump, according to Al Jazeera. Benchmarks in Japan, Taiwan and Australia all advanced, tracking a Wall Street rebound on Friday. The earlier rout followed the Democratic Party's decisive win in the US midterm elections.
In Tokyo, the Nikkei 225 gained 2.33 percent, while Sydney's S&P/ASX 200 added 0.099 percent, Al Jazeera reported.
Why it matters
The swing illustrates how quickly sentiment in Asian technology and semiconductor markets now turns on US political and corporate developments. Friday's losses were steep: the Nikkei 225 fell roughly 6 percent and South Korea's KOSPI dropped about 9 percent, while Hong Kong's Hang Seng Index lost more than 1 percent, according to Al Jazeera. Monday's gains only partly reverse those moves, and analysts quoted by the outlet suggest the outlook remains unsettled.
Analysts point to financial conditions and AI uncertainty
Cameron Chui, Asia equity strategist at JP Morgan Private Bank in Hong Kong, told Al Jazeera that the recent pullback in AI infrastructure stocks reflected several pressures at once: tighter financial conditions, rising scrutiny of credit access for neocloud companies, and doubts about whether the AI build-out could be delayed after the midterm results.
Chui nonetheless argued that underlying demand for AI remains solid, that spending plans for 2027 are still clearly visible, and that valuations have already fallen enough to absorb at least some of these worries. He identified Taiwan and South Korea as offering appealing upside in Asia, while cautioning that the risk of weaker earnings in 2028 has grown considerably, widening the range of possible outcomes.
Nvidia inquiry weighs on futures
US futures gave a mixed signal as of 07:30 GMT, per Al Jazeera: contracts tied to the S&P 500 were up 0.17 percent, while Nasdaq 100 futures were down 0.24 percent. Both had slipped earlier in the session after Nvidia, the US chipmaker, said it would investigate chief executive Jensen Huang over a romantic relationship with a woman accused of being a Chinese spy.
According to Al Jazeera, Nvidia's board stated it had confidence in Huang and saw no reason to believe national security or company secrets had been compromised, but said an independent inquiry would review all available information. The board also said it puts US national and economic security first, calling that paramount to the interests of Nvidia and its shareholders.
The wider rebound follows a $2.5 trillion sell-off on Wall Street on Thursday, when midterm results raised fears that Democratic-controlled legislatures could slow the permitting and construction of data centres needed to power artificial intelligence, Al Jazeera reported.
Coverage from other outlets painted a similar picture of fragile sentiment. CNBC reported that chip stocks in South Korea and Taiwan gained despite the scrutiny of Nvidia, while The Wall Street Journal described Asian equities as mostly rebounding with sentiment still weak. Yahoo Finance linked the bounce to easing AI and Middle East concerns, with the dollar holding firm on expectations about Federal Reserve policy, and Bloomberg flagged the Nvidia probe as a potential source of pressure on Asian markets.
What to watch next: whether US futures steady through the session, how the Nvidia inquiry develops, and whether Asian chipmakers can hold their gains as investors reassess earnings risk for 2028.
