Asian markets open lower; South Korea’s Kospi slides nearly 6%

July 28, 2026 (MLN): Asian markets opened lower on Tuesday, led by a sharp selloff in South Korea, as investors turned cautious ahead of a packed week of major U.S. corporate earnings, the Federal Reserve's policy decision, and key economic data.

South Korea's Kospi plunged 5.93% at the opening bell, while the small-cap Kosdaq declined 3.63%. Japan's Nikkei 225 fell 0.65% and the broader Topix lost 0.63%. Australia's S&P/ASX 200 also traded 0.38% lower in early dealings, according to CNBC.

Futures indicated mixed sentiment across the region. Japan's Nikkei futures traded around 63,910–63,920, below the benchmark's previous close of 64,931.19.

Hong Kong's Hang Seng futures stood at 25,299, slightly above the index's last close of 25,207.18. Australia's ASX 200 futures were quoted at 8,821, compared with the previous close of 8,894.

Market sentiment remained fragile as investors awaited quarterly earnings from major U.S. technology companies, including Amazon, Meta Platforms, Microsoft and Apple.

The results are expected to provide fresh insight into artificial intelligence spending and capital expenditure trends among the largest technology firms.

Continued investment in AI infrastructure is expected despite recent weakness in large-cap technology stocks, with investors closely watching whether elevated capital spending will remain intact.

Attention is also centered on the U.S. Federal Reserve's policy meeting concluding on Wednesday. While markets broadly expect the central bank to keep interest rates unchanged, investors are looking for guidance on the timing of future policy moves. Current market pricing suggests expectations of a 25-basis-point rate increase in September.

On the economic front, investors will monitor the latest U.S. consumer confidence data later Tuesday. Earnings from companies including The Coca-Cola Company, United Parcel Service, Corning and Boeing are also scheduled before the opening bell.

Meanwhile, oil prices remained under pressure, with oil trading below $90 per barrel after fighting between the United States and Iran paused to allow diplomatic efforts to continue.

Investors are also monitoring U.S. President Donald Trump's meeting with Israeli Prime Minister Benjamin Netanyahu, where regional security and Iran are expected to be key topics of discussion.

The U.S. 10-year Treasury yield eased to around 4.65%, offering some relief to global financial markets after recent volatility.

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