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The Seoul skyline at sunset.
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Asia-Pacific markets were set to open lower Wednesday, tracking losses on Wall Street after Treasury yields rose and major tech stocks declined.
Australia's S&P/ASX 200 opened 0.11% lower.
Japan's Nikkei 225 futures pointed to a lower open for the market, giving back gains after a rally in tech stocks lifted the index to lead gains in Asia on Tuesday. The futures contract in Chicago was at 39,905 while the futures contract in Osaka last traded at 39,730, compared to the index's previous close of 40,083.3.
Hong Kong's Hang Seng index futures last traded at 19,447, pointing to a flat open as the HSI's last closed at 19,447.58.
Traders in Asia will continue monitoring developments related to Chinese tech firm Tencent Holdings, whose shares fall almost 8% on Tuesday following its inclusion in the U.S. Department of Defense list of "Chinese military companies."
Separately, Samsung is slated to release its earnings guidance for the fourth quarter of 2024 later in the day.
Overnight in the U.S., declines across major tech stocks dragged the market lower.
The S&P 500 dipped 1.11% to close at 5,909.03. The Dow Jones Industrial Average lost 178.20 points, or 0.42%, and ended at 42,528.36. The Nasdaq Composite slid 1.89% to 19,489.68. The major averages traded higher earlier in the day before rolling over. Nvidia shares fell 6.2% after hitting a record.
Tesla slipped 4% after Bank of America downgraded the electric-vehicle maker given its high valuation and risks associated with its strategy. Meta Platforms shed nearly 2%, while Apple and Microsoft each dipped more than 1%.
—CNBC's Pia Singh and Lisa Kailai Han contributed to this report.
CNBC Pro: Goldman loves this European stock riding the data center wave
Goldman Sachs is bullish on one of Italy's cable manufacturing giants.
And the stock is among the latest additions to the investment bank's "Conviction List - Directors' Cut" for Europe.
CNBC Pro subscribers can read more here.
— Amala Balakrishner
Major U.S. indexes end lower on Tuesday
Stocks ended the trading session in the red, dragged by a decline in megacap tech and strong economic data.
The S&P 500 slid 1.11% to close at 5,909.03. The Nasdaq Composite lost 1.89% to end at 19,489.68. The Dow Jones Industrial Average declined 178.20 points, or 0.42%, to close at 42,528.36.
— Pia Singh
CNBC Pro: These 4 ETFs have outperformed the S&P 500 over the past five years
Four ETFs in Europe and North America have beaten the S&P 500 over the past five consecutive years, according to a CNBC Pro screen.
The U.S. benchmark rose by 23.3% in 2024 and 24.2% the previous year, making it particularly challenging for funds to outperform. It's only the third time the S&P 500 has logged back-to-back gains of that size in the past century, according to Deutsche Bank.
CNBC Pro screened over 10,600 ETFs listed in Europe and North America to identify the four ETFs.
CNBC Pro subscribers can read more here.
— Ganesh Rao
UBS says the 'bull market remains intact' this year
Despite expensive valuations, UBS continues to view U.S. equities and artificial intelligence-exposed parts of the market as attractive.
The firm predicts earnings growth to drive another year of "concentrated returns," continuing 2024's 'Mag 7' leadership.
"U.S. equity valuations are higher than average, but historically valuations have had very little correlation with returns over the next 12 months. Instead, profit growth matters more," David Lefkowitz, CIO head of US equities for UBS, wrote in a Monday note to clients. "We think the bull market remains intact driven by solid economic and corporate profit growth."
Lefkowitz expects "healthy" S&P 500 earnings per share growth of 9% this year, remaining bullish on stocks overall even as the firm expects periods of volatility in the year ahead.
— Pia Singh
English (US)