Asian shares trading low after Wall Street losses on AI-related worries

Market Overview - Asian shares mostly traded lower, influenced by significant losses on Wall Street due to concerns over technology stocks affected by artificial intelligence disruptions [1] - The S&P 500 experienced its second-worst day since Thanksgiving, dropping 1.6% to 6,832.76, while the Dow Jones Industrial Average fell 1.3% to 49,451.98, and the Nasdaq composite lost 2% to 22,597.15 [4] Regional Indices Performance - Tokyo's Nikkei 225 decreased by 0.8% to 57,165.13, with SoftBank Group, focused on AI, falling 6.8% despite reporting quarterly profits [2] - South Korea's Kospi rose 0.4% to 5,545.49, driven by gains in technology stocks, particularly Samsung Electronics, which increased by 1.2% [2] - Hong Kong's Hang Seng dropped 1.8% to 26,547.97, and the Shanghai Composite index fell 0.7% to 4,105.04 [3] - Australia's S&P/ASX 200 traded 1.4% lower at 8,919.30 [3] Company-Specific Developments - Cisco Systems' shares plummeted 12.3% despite better-than-expected quarterly results, raising concerns about ongoing profitability [5] - AppLovin's stock fell 19.7% even after reporting better-than-expected quarterly profits, as fears over AI's impact on its business weighed heavily [5] Analyst Sentiment - Some analysts express concerns about the uncertainties surrounding AI disruptions, suggesting that these risks may persist for some time [6] - Conversely, economists at Capital Economics remain optimistic about the AI rally, predicting a "good year" for the S&P 500, supported by technology-led gains [7] - Thomas Mathews from Capital Economics believes that a significant decline in tech performance would be necessary for a sustained reversal of tech outperformance, indicating confidence in the tech sector's future [8]