Asian Stocks Plunge on Renewed AI Concerns, US Economic Slowdown Fears

Asian stocks experienced their most significant decline since early August, mirroring losses in US markets triggered by a sharp drop in Nvidia`s stock price. This decline, particularly impacting chipmakers, renewed concerns about the sustainability of the artificial intelligence boom. The negative market sentiment was further fueled by weaker-than-expected US manufacturing data, raising worries about a potential economic slowdown. This concern added to existing anxieties in Asia stemming from recent disappointing economic figures from China. Market sentiment is cautious as investors weigh the possibility of a recession against the potential for policy easing, creating a complex and uncertain outlook.