Asian stocks drop as technology shares decline

Technology stocks came under pressure amid persistent geopolitical uncertainty and profit-taking in high-growth sectors

Asian stocks were subdued on Wednesday as technology shares pulled back, while Japan’s benchmark index edged up to a record high.

KOSPI edged down 0.3% on Wednesday after hitting record highs in the prior session.

Technology stocks came under pressure amid persistent geopolitical uncertainty and profit-taking in high-growth sectors.

Hang Seng shed 1.4%, with the Hang Seng TECH sub-index declining 2%.

Nikkei 225 rose 0.5% to hit record levels of 59,708.21 points, while the broader TOPIX index edged dropped 0.7%.

Official figures showed Japan’s exports advanced 11.7% year-on-year in March, marking a seventh straight month of growth and exceeding expectations for an 11% rise.

Imports jumped 10.9%, also beating forecasts, reflecting resilient domestic demand and higher energy costs.

Investor focus remained firmly on developments in the Middle East after the U.S. president said he would extend a ceasefire with Iran indefinitely.

While the move offered some relief to markets, uncertainty over Iran’s acceptance, stalled negotiations, and the continued disruption in the Strait of Hormuz kept sentiment in check.

Analysts said markets had largely anticipated the ceasefire extension, limiting any strong risk-on reaction. Instead, investors remained cautious, awaiting clearer signals on whether diplomatic talks would resume and whether key energy routes would reopen.

Shanghai Composite index and the blue-chip Shanghai Shenzhen CSI 300 edged up 0.2% each.

Elsewhere, Australia’s S&P/ASX 200 declined 1%, while Singapore’s Straits Times Index edged 0.4% lower.

India’s Nifty 50 shed 0.5%.

In related news, U.S. stock index futures advanced in Asian trading after the president’s ceasefire announcement. The local stock market closed lower overnight.