Asian markets are falling as technology sales spread around the world

Softbank Group Corporation 9984, one of the biggest losers in the technology sector
-2.87%
, Which fell 5%, Alibaba Group Holding 9988,
-2.74%
, Its shares fell 2.5% in Hong Kong and semiconductor maker SMIC 981,
-2.87%
, Which lost 2.7%.

Shares fell on Taiwan Y9999,
-0.43%
And most of Southeast Asia JAKIDX,
-1.43%
STI,
-0.46%
.

Investors were also stunned by Astro-Geneca’s corona virus vaccine test and problems in easing Sino-US tensions.

“At the very least, the floating hope balloon for vaccine hope has caused a significant leak,” said Stephen Innes of OxyCorp. Said in a comment.

Citing national security concerns, President Donald Trump’s talk of “disconnecting” the US economy from China has heightened uncertainty as Washington seeks to limit the use of US technology by Chinese companies as the presidential campaign heats up.

The relationship between the two major economies of the world has been on the edge for years, and the hostile trend threatens to further undermine global growth at a time when the corona virus epidemic has plunged many countries into recession.

Overnight, S&P 500 SPX,
-2.77%
It was down 2.8% to 3,331.84, embracing its first three-day defeat in almost three months. All shares were down nearly 90%.

Apple AAPL,
-6.72%
, Microsoft MSFD,
-5.41%
And Amazon AMZN,
-4.39%
Big Tech stocks plunged more than 4%, torpedoing broader market indices. The Nasdaq hybrid, packed with technology stocks, fell 4.1%, down 10% from its last record on September 2nd.

Dow Jones Industrial Average DJIA,
-2.24%
It lost 2.2% to 27,500.89. Nasdaq hybrid COMP,
-4.11%
It is packed with technology stocks, down 4.1% to 10,847.69 and is down 10% since setting its latest record on September 2nd.

Technology stocks have risen on the basis of expectations that it will be able to deliver consistently strong profit growth regardless of the economy and global health. Technology shares of the S&P 500 are up 23% so far by 2020, and Amazon is up 70.5%, despite the devastation to the economy from the epidemic.

Analysts say that operations for the stock options of big tech companies have rapidly increased their gains recently. With certain types of options, investors can make huge profits on a stock without having to pay its full share price as long as the share price continues to rise. If enough of these types of stock options are sold, it will create buying momentum, which accelerates profits.

But all of that activity could quickly disintegrate and cause prices to fall, as it did last week. Critics have long argued that large technology stocks have risen too high even after calculating their strong profit growth.

Researchers have classified the face as a sudden technical correction.

There is a lot of talk about “risk-off,” but it feels like it’s more ignorant of the conditions at which it’s purchased at a higher price than a typical aircraft for safety, “said Robert Cornell of the ING economy in a statement. There are still clear buyers on the way down. “

Yields on the 10-year treasury fell to 0.67% from 0.72% in late Friday. But this is more significant than the 0.53% offered at the end of July.

The failure of Democrats and Republicans in Washington to find an agreement to send additional aid to unemployed workers shatters hopes for further help to the US economy.

Slow growth has reduced oil prices in anticipation that supply will exceed demand. Benchmark American Raw CLV20,
-0.84%
Zhang lost 28 cents per barrel in the e-commerce on the New York Mercantile Exchange. Was 36.48. It was down 1 3.01 per barrel on Tuesday. Was 36.76. Brent crude BRNX20,
-0.72%
, Internationally, is down 25 cents to $ 39.53 a barrel. It was down 23 2.23 overnight to $ 39.78.

“The re-emergence of US-China risks, the main reason for the oil hook, casts strong doubt on speculation about a more sustainable demand recovery,” Miyuho Bank’s Hayaki Narita said in a statement.

In currency transactions, USD USDJPY,
-0.19%
It fell from 106.05 yen to 105.93 Japanese yen.