Shang Hai Zheng Quan Bao·2025-11-21 18:43Market Overview - The Asia-Pacific stock market experienced a significant decline on November 21, with the Korean Composite Index dropping by 3.79% and major indices like the Shanghai Composite, Hong Kong Hang Seng, and Nikkei 225 all falling over 2% [3][4] - Major tech stocks faced substantial losses, including SoftBank Group down over 10%, SK Hynix down over 8%, and Semiconductor Manufacturing International Corporation (SMIC) down over 6% in H-shares and over 3% in A-shares [3][4] Macro Factors - The primary macro factor for the recent adjustment in the Asia-Pacific stock market is the uncertainty surrounding the Federal Reserve's interest rate decisions, particularly following conflicting employment data released by the U.S. Labor Department [4][5] - The employment report indicated a significant increase in non-farm payrolls, with 119,000 jobs added in September, far exceeding the expected 50,000, while the unemployment rate rose to 4.4%, the highest since 2021 [4] AI Sector Concerns - The ongoing debate regarding the "AI bubble" has contributed to the decline in high-valued tech stocks, with major companies like Nvidia, Apple, and Microsoft experiencing notable drops [5][6] - Despite Nvidia's strong quarterly performance, its stock price fell, leading to a broader sell-off in tech stocks across Asia, particularly affecting companies in the supply chain [5][6] Investment Outlook - Long-term prospects for Chinese assets remain positive, driven by structural opportunities in overseas expansion and technological innovation [6][7] - Barclays Research has expressed optimism about Chinese stocks, predicting strong performance through 2025, with the Hong Kong market being one of the best-performing globally this year [6][7] - UBS forecasts a favorable year for the Chinese stock market, supported by factors such as internet, hardware technology, and brokerage sectors, alongside resilience in trade amidst uncertainties [7]