Asia markets slide as Japan’s exports slump

August 20, 2025 (MLN): Asia-Pacific market dipped on Wednesday which mirrored overnight weakness on Wall Street, as investors digested Japan’s trade figures and China’s decision to keep its benchmark lending rates unchanged.

Japan’s exports fell 2.6% YoY in July the steepest decline in more than four years sharply exceeding forecast of a 2.1% contraction. The drop also widened from June’s 0.5% decline, according to CNBC.

In response, the Nikkei 225 lost 0.93% and the broader Topix slipped 0.31%. Technology shares were among the hardest hit, with SoftBank Group plunging as much as 9.17% in its second straight day of losses.

The Japanese tech investment giant has been under pressure following its $2 billion investment in Intel, whose shares jumped nearly 7% in U.S. trading overnight.

Elsewhere, South Korea’s Kospi dropped 1.52% and the Kosdaq shed 1.77%.

Australia’s S&P/ASX 200 edged down 0.24% at the open. Hong Kong’s Hang Seng index lost 0.71%, while China’s CSI 300 slid 0.48% after Beijing left its loan prime rates unchanged for a third consecutive month in August, in line with expectations.

Taiwan’s Taiex fell more than 2%.

A notable exception was Chinese toymaker Pop Mart, which surged more than 8% after initially opening lower.

The rebound followed the firm’s disclosure of a near 400% jump in net profit, fueled by robust global demand for its Labubu dolls.

On Wall Street, the S&P 500 retreated 0.59% to close at 6,411.37, pressured by weakness in Nvidia and other technology stocks.

The Nasdaq Composite slid 1.46% to 21,314.95.

In contrast, the Dow Jones Industrial Average eked out a gain of 10.45 points, or 0.02%, ending at 44,922.27 after touching a fresh record high earlier in the session.

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