Asian stocks fall on Wall Street tech losses
HONG KONG (AP) — Asian stocks started the week lower, tracking losses on Wall Street where investors knocked down internet and technology stocks over worries about valuations.
Internet economy mainstays such as Google and Netflix that have surged over the past year were hammered on Friday as investors had a change of heart and decided prices were too high. The technology-heavy Nasdaq had its biggest one-day drop since February.
The sell-off flowed through into Asia, especially in Japan where the Nikkei 225 led the region’s declines, dropping 1.3 percent to 14,871.54. Electronics makers slid, with Panasonic Corp. down 3.8 percent and Toshiba Corp. losing 1.6 percent.
South Korea’s Kospi slipped 0.2 percent to 1,985.00 while Hong Kong’s Hang Seng was down 0.5 percent 22,401.93. Australia’s S&P/ASX 200 shed 0.2 percent to 5,412.70.
Markets in mainland China were closed for a holiday.
Investors this week will be looking ahead to some key releases for further clues on the economic outlook. On Tuesday, they’ll be awaiting a policy statement from the Bank of Japan that may reveal whether the central bank will provide further stimulus. On Wednesday, they’ll be scrutinizing minutes from the Federal Reserve’s policy setting committee.
On Wall Street on Friday, the Nasdaq composite index plunged 2.6 percent to close at 4,127.73. The S&P 500 index fell 1.3 percent to 1,865.09 while the Dow dropped or 1 percent to 16,412.71.
In currencies, the euro fell to $1.3701 from $1.3703 in late trading Friday. The Japanese yen rose to 103.28 from 103.26.
In energy trading, crude oil for May delivery fell 26 cents to $100.88 in electronic trading on the New York Mercantile Exchange. The contract rose 85 cents to settle at $101.14 on Friday.