Oil prices climb above $108 on Middle East supply fears while AI-linked stocks face a sell-off as industry leaders call for slower development cycles.
Brent crude briefly traded above $108 a barrel as Middle East tensions and Strait of Hormuz disruption raised supply concerns.
AI-linked stocks declined in Asian trading amid concerns about AI development slowdown.
SK Hynix fell in South Korea as part of the broader AI stock sell-off.
Samsung Electronics shares declined in South Korea amid AI sector weakness.
SoftBank shares dropped in Japan along with other AI-related equities.
Expectations for a BOJ rate hike and US-Japan intervention to support the yen are likely to weigh on USD/JPY.
Global markets face a volatile week as Brent crude surges past $108 a barrel amid rising tensions in the Strait of Hormuz. Simultaneously, AI-linked equities including TSM, SK Hynix, and Samsung retreated following calls from industry leaders to decelerate the development of advanced AI models.
Stocks like TSM and SK Hynix are falling as industry leaders, including Anthropic's CEO, call for a slowdown in advanced AI model development due to safety and misuse concerns.
Brent crude prices rose above $108 per barrel following the postponement of diplomatic talks between Gulf states and Iran regarding the Strait of Hormuz and ongoing regional conflict.