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Shares in the South Korean studio behind the ultra-catchy “Baby Shark” — YouTube’s most-viewed video — surged as much as 60 percent on Tuesday as the company made its market debut in Seoul.Beloved by young children, “Baby Shark Dance” has racked up more than 16 billion views on YouTube, roughly double the second-place clip “Despacito”.It was posted on the platform nearly a decade ago by The Pinkfong Company, which owns a portfolio of children’s animation and educational franchises.In morning trade, the company’s shares were up around 17 percent from their offering price of 38,000 won ($26), having earlier soared over 60 percent.”Baby Shark”, in which a shark family is introduced one by one to a chirpy tune, is a global megahit and has featured as a Macy’s parade balloon in New York.The Pinkfong Company was founded in 2010 and most of its income comes from selling content online and for live shows.Analysts said the surge in share price was normal for an initial public offering (IPO).”In theory, newly listed stocks are supposed to rise by around 30 to 40 percent on their first day of trading,” Choi Jong-kyung at Heungkuk Securities told AFP.”The level of gain (for The Pinkfong Company) is, textbook-wise, a very natural phenomenon.”The Pinkfong Company posted revenue of 97.4 billion won last year, up 11 percent, and operating profit of 18.8 billion won, nearly quadruple the previous year.Last month, CEO Kim Min-seok said the firm has “a structure that generates profit from the content itself”.”We recoup production costs through our own channels like YouTube and apps, which lowers our dependence on external distributors and reduces variable-cost burdens,” Kim told South Korea’s Edaily.South Korea is a global popular culture powerhouse, home to K-pop band BTS and the origin of recent Netflix TV hits such as “Squid Game” and “KPop Demon Hunters”.

Asian stocks sank Tuesday, tracking more losses on Wall Street as investors grow increasingly worried about frothy tech valuations, with focus turned to earnings this week from AI chip titan Nvidia.Building anxiety that this year’s record rally linked to all things artificial intelligence has made some traders question whether the billions spent on the industry might not see the big returns as soon as hoped.Compounding the downbeat mood are concerns that the Federal Reserve will decide against a third-straight interest rate cut next month, as stubborn inflation plays up against a weakening jobs market.The rally this year has been driven by the fears of missing out on the AI bandwagon and bets on US borrowing costs coming down.That has put two major releases this week well in the spotlight.Wednesday sees Nvidia — at the forefront of the AI push with its top-end chips — release its latest earnings report, which will be pored over for an idea about the outlook for the sector.Earnings from retailers Home Depot, Target and Walmart will meanwhile give an insight into consumer sentiment.Investors have become sensitive to any negative news surrounding the AI universe, and were given a jolt this week when it emerged that tech billionaire Peter Thiel’s hedge fund had offloaded all its Nvidia stake, which Bloomberg valued at about $100 million.Neil Wilson at Saxo Markets said in a note: “Analysts are sounding upbeat ahead of the report. But the bar is set very high and we know that if investors are starting to wobble the whole house of cards can come crashing down at any point. “Profitability at the stocks at the heart of the AI bubble remains very strong, but any weakness evident in the (third quarter) from Nvidia would be punished hard by markets.” Thursday is expected to see the release of the US September jobs report after delays due to the government shutdown. The data will provide a fresh snapshot of the world’s number one economy and give an idea about the chances of another rate cut.The chances of a December reduction are around 50-50, with Fed officials recently flagging concerns about inflation more than the jobs market.Bank boss Jerome Powell said last month that another cut at its December policy meeting was not a “foregone conclusion”, a comment that has been echoed by a number of colleagues.Still, Fed governor Christopher Waller said Monday that “my focus is on the labour market, and after months of weakening, it is unlikely that the September jobs report later this week or any other data that’s going to come out in the next few weeks is going to change my view that another cut is in order”.Meanwhile, Fed vice chair Philip Jefferson said that while he saw further downside risks to jobs, he wanted decision makers to proceed carefully, suggesting he is keeping his powder dry.After a day deep in the red on Wall Street, Asia also struggled.Tokyo, Sydney, Seoul and Taipei all shed more than one percent, while there were also big losses in Hong Kong, Shanghai, Singapore and Wellington.Bitcoin continued to struggle with the risk-averse atmosphere on markets, and was sitting at around $91,300, having wiped out all its gains for the year. The crypto coin has lost more than a quarter of its value since hitting a record high of $126,251 last month.- Key figures at around 0230 GMT -Tokyo – Nikkei 225: DOWN 1.8 percent at 49,432.56 (break)Hong Kong – Hang Seng Index: DOWN 0.9 percent at 26,128.79Shanghai – Composite: DOWN 0.4 percent at 3,957.29Dollar/yen: UP at 155.25 yen from 155.23 yen on MondayEuro/dollar: UP at $1.1591 from $1.1589Pound/dollar: DOWN at $1.3152 from $1.3156Euro/pound: UP at 88.13 pence from 88.09 penceWest Texas Intermediate: DOWN 0.5 percent at $59.64 per barrelBrent North Sea Crude: DOWN 0.4 percent at $63.92 per barrelNew York – Dow: DOWN 1.2 percent at 46,590.24 points (close)London – FTSE 100: DOWN 0.2 percent at 9,675.43 points (close)

Global stock markets pulled back Monday as traders awaited key earnings reports, notably from chip giant Nvidia, amid concerns that the US Federal Reserve could hold off on further rate cuts this year.On Wall Street, the Dow retreated 1.2 percent while the tech-heavy Nasdaq lost 0.8 percent. The broader-based S&P 500 slid 0.9 percent.Europe lacked inspiration too with the DAX closing off 1.2 percent while London and Paris lost marginal ground.Major Asian indices had earlier finished lower as well amid simmering tensions between China and Japan which hit tourism and retail firms on Tokyo’s exchange.Besides Nvidia, which dropped 1.9 percent, US retailers Home Depot, Target and Walmart are also set to release their earnings reports.Those will be monitored for signs of how consumers are faring as President Donald Trump’s tariffs bite.Traders are also awaiting US government data on how the labor market fared in September. The numbers are due for publication Thursday, after the end of the longest government shutdown in US history.”It’ll be the first glimpse of some macro news” that could provide hints on the Fed’s preferred path for interest rates moving forward, said Peter Cardillo from Spartan Capital Securities.Among companies, he added: “It’s all up to Nvidia, whether or not it can turn the souring negative sentiment on the AI sector.”Dave Grecsek of wealth management firm Aspiriant added that if Nvidia could meet high expectations, “that could sort of stabilize the market a little bit.”The European Union on Monday cut its eurozone growth forecast for 2026 as risks from international trade and geopolitical tensions weighed on Europe’s economy.Investors have in recent weeks reconsidered prospects for US rate cuts and the AI-fueled tech rally that had lifted several markets to record highs.Traders are keenly awaiting the release of several reports — including on jobs and inflation — that had been held up by the record US government shutdown that ended last week.With data releases delayed, “chances are growing that the Fed will avoid changing monetary policy when the economic outlook remains murky,” said Kathleen Brooks, research director at trading group XTB.Fed boss Jerome Powell signaled last month that a December cut to borrowing costs was not assured, adding to uncertainty.All eyes are on this week’s earnings update from Nvidia, the world’s most valuable company, which late last month hit a market capitalization of $5.0 trillion before slipping back.For now, Bitcoin suffered from the uncertain climate on trading floors.The cryptocurrency had climbed to a record high of $126,251 on October 6, buoyed by Trump’s pledges to ease regulation on the crypto sector, but has fallen from that level to around $91,634.45.- Key figures at around 2105 GMT -New York – Dow: DOWN 1.2 percent at 46,590.24 points (close)New York – S&P 500: DOWN 0.9 percent at 6,672.41 (close)New York – Nasdaq Composite: DOWN 0.8 percent at 22,708.08 (close)London – FTSE 100: DOWN 0.2 percent at 9,675.43 points (close)Paris – CAC 40: DOWN 0.6 percent at 8,119.02 (close)Frankfurt – DAX: DOWN 1.2 percent at 23,590.52 (close)Tokyo – Nikkei 225: DOWN 0.1 percent at 50,323.91 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 26,384.28 (close)Shanghai – Composite: DOWN 0.5 percent at 3,972.03 (close)Dollar/yen: UP at 155.23 yen from 154.55 yen on FridayEuro/dollar: DOWN at $1.1589 from $1.1621Pound/dollar: DOWN at $1.3156 from $1.3171Euro/pound: DOWN at 88.09 pence from 88.22 penceWest Texas Intermediate: DOWN 0.3 percent at $59.91 per barrelBrent North Sea Crude: DOWN 0.3 percent at $64.20 per barrel

Global stock markets marked time Monday as traders awaited key earnings reports, notably from chip giant Nvidia, amid concerns the US Federal Reserve could hold off on further rate cuts this year.On Wall Street the Dow was flat two hours into the session while the tech-heavy Nasdaq had added a paltry 0.2 percent. The broader-based S&P 500 Index was off by just under of 0.1 percent.Europe lacked inspiration with the DAX closing off 1.2 percent while London and Paris lost marginal ground.Major Asian indices had earlier finished down amid simmering tensions between China and Japan which hit tourism and retail firms on Tokyo’s exchange.Besides Nvidia, which was off 1.1 percent, US retailers including Home Depot, Target and Walmart are also set to release their earnings reports.Those will be monitored for signs of how consumers are faring as President Donald Trump’s international trade tariffs bite.Traders are also awaiting US government data on how the labour market fared in September. The numbers are due for publication Thursday, after the end of the longest government shutdown in US history.”It’ll be the first glimpse of some macro news” that could provide hints on the Fed’s preferred path for interest rates moving forward, said Peter Cardillo from Spartan Capital Securities.Among companies, he added: “It’s all up to Nvidia, whether or not it can turn the souring negative sentiment on the AI sector.”The tepid mood on trading floors dragged on the crypto sector, with bitcoin briefly erasing all its gains this year — just over a month after hitting a record high.The European Union on Monday cut its eurozone growth forecast for 2026 as risks from international trade and geopolitical tensions weighed on Europe’s economy.Investors have in recent weeks reconsidered prospects for US rate cuts and the AI-fuelled tech rally that had lifted several markets to record highs.Traders are keenly awaiting the release of several reports — including on jobs and inflation — that had been held up by the record US government shutdown that ended last week.With data releases delayed, “chances are growing that the Fed will avoid changing monetary policy when the economic outlook remains murky”, said Kathleen Brooks, research director at trading group XTB.Federal Reserve boss Jerome Powell signalled last month that a December cut to borrowing costs was not assured, adding to uncertainty.All eyes are on this week’s release of earnings from chip titan Nvidia, the world’s most valuable company, which late last month hit a market capitalisation of $5.0 trillion before slipping back.Bitcoin suffered from the uncertain climate on trading floors, with the digital unit briefly dropping to $92,935.51.It bounced back slightly to sit above $94,000 on Monday. The cryptocurrency had climbed to a record high of $126,251 on October 6, buoyed by Trump’s pledges to ease regulation on the crypto sector.- Key figures at around 1650 GMT -New York – Dow: FLAT at 47,141.61 pointsNew York – S&P 500: UP 0.2 percent at 6,745.31 New York – Nasdaq Composite: UP 0.2 percent at 22,962.65London – FTSE 100: DOWN 0.2 percent at 9,675.43 points (close)Paris – CAC 40: DOWN 0.6 percent at 8,119.02 (close)Frankfurt – DAX: DOWN 1.2 percent at 23,590.52 (close)Tokyo – Nikkei 225: DOWN 0.1 percent at 50,323.91 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 26,384.28 (close)Shanghai – Composite: DOWN 0.5 percent at 3,972.03 (close)Dollar/yen: UP at 155.19 yen from 154.55 yen on FridayEuro/dollar: DOWN at $1.1598 from $1.1621Pound/dollar: UP at $1.3174 from $1.3171Euro/pound: DOWN at 88.01 pence from 88.22 penceWest Texas Intermediate: FLAT at $60.11 per barrelBrent North Sea Crude: FLAT at $64.43 per barrel

Global stock markets fell back Monday as traders awaited key earnings reports notably from chip giant Nvidia and amid concerns the US Federal Reserve could hold off on further rate cuts this year.On Wall Street the Dow was off 0.2 percent at 47,033.52 points a few minutes into trading, with the tech-heavy Nasdaq down by a similar margin. The broader based S&P 500 Index pulled back 0.3 percent to 6,711.92.Besides Nvidia, which was off 1.6 percent, US retailers including Home Depot, Target and Walmart are also set to release their earnings reports, which will be monitored for signs of how consumers are faring as President Donald Trump’s tariffs bite.Traders are also awaiting US government data on how the labour market fared in September. The numbers are due for publication Thursday, after the end of the longest government shutdown in US history. “It’ll be the first glimpse of some macro news” that could provide hints on the Fed’s preferred path for interest rates moving forward, said Peter Cardillo from Spartan Capital Securities.Among companies, he added that “it’s all up to Nvidia, whether or not it can turn the souring negative sentiment on the AI sector”.London and Paris were marginally into the red two hours out from the European close while the DAX was off 0.8 percent in Frankfurt.Major Asian indices earlier finished down amid simmering tensions between China and Japan which hit tourism and retail firms on Tokyo’s exchange.The tepid mood on trading floors dragged on the crypto sector, with bitcoin briefly erasing all its gains this year — just over a month after hitting a record high.The European Union on Monday cut its eurozone growth forecast for 2026 as risks from international trade and geopolitical tensions weigh on Europe’s economy.Investors have in recent weeks reconsidered prospects for US rate cuts and the AI-fuelled tech rally that had lifted several markets to record highs.Traders are keenly awaiting the release of several reports — including on jobs and inflation — that had been held up by the record US government shutdown that ended last week.With data releases delayed, “chances are growing that the Fed will avoid changing monetary policy when the economic outlook remains murky”, said Kathleen Brooks, research director at trading group XTB.Federal Reserve boss Jerome Powell signalled last month that a December cut to borrowing costs was not assured, adding to uncertainty.All eyes are on this week’s release of earnings from chip titan Nvidia, the world’s most valuable company, which late last month hit a market-capitalisation of $5.0 trillion before slipping back a bit.Bitcoin suffered from the uncertain climate on trading floors, with the digital unit briefly dropping to $92,935.51. It bounced back slightly to sit above $95,000 on Monday.The cryptocurrency had climbed to a record high of $126,251 on October 6, buoyed by US President Donald Trump’s pledges to ease regulation on the crypto sector.- Key figures at around 1450 GMT -New York – Dow: DOWN 0.2 percent at 47,033.52 pointsNew York – S&P 500: DOWN 0.3 percent at 6,711.92 New York – Nasdaq Composite: DOWN 0.2 percent at 22,867.59 London – FTSE 100: DOWN 0.1 percent at 9,686.52 pointsParis – CAC 40: DOWN 0.4 percent at 8,134.06Frankfurt – DAX: DOWN 0.8 percent at 23,691.12Tokyo – Nikkei 225: DOWN 0.1 percent at 50,323.91 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 26,384.28 (close)Shanghai – Composite: DOWN 0.5 percent at 3,972.03 (close)Dollar/yen: UP at 155.17 yen from 154.55 yen on FridayEuro/dollar: DOWN at $1.1585 from $1.1621 Pound/dollar: DOWN at $1.3168 from $1.3171Euro/pound: DOWN at 87.97 pence from 88.22 penceWest Texas Intermediate: FLAT at $60.06 per barrelBrent North Sea Crude: FLAT at $64.40 per barrel

Emirates, the Middle East’s biggest airline, topped up its order of Boeing 777X planes on Monday despite years of delays, delivering a vote of confidence to the US manufacturer at the Dubai Airshow.The order of 65 777-9s, valued at $38 billion including engines, came despite last month’s announcement that delivery was now due in 2027 — seven years behind the original schedule.Emirates, already the biggest customer for the Boeing 777, now has 270 777X, 10 777 freighters and 35 Boeing 787s on order.The 777X deliveries will start in the second quarter of 2027, Emirates Group chairman and chief executive Sheikh Ahmed bin Saeed Al Maktoum said.”Some people may have doubts about Emirates’ huge backlog of aircraft orders,” he told a press conference. “But I assure that each and every aircraft on order has been carefully factored into Emirates’ growth plans.”The announcement on day one at the biennial airshow, the biggest in the Middle East, came as China showcased its COMAC C919 for the first time in the region.China’s first domestically produced passenger jet is a stab at challenging the decades-long dominance of Boeing and its European rival Airbus.Brazil’s Embraer unveiled orders from Air Cote d’Ivoire for four passenger planes and another three for Switzerland’s Helvetic Airways.Boeing also announced smaller deals with Ethiopian Airlines, which ordered 11 737 MAX jets, and nine 737-8s for Air Senegal on Monday.The US plane-maker is trying to turn the page on a torrid period including deadly crashes, court cases and a strike in its defence arm, as well as the delivery delays.- ‘Do more business’ -“I don’t think there was any convincing that needed to be done, frankly,” Brad McMullen, Boeing’s senior vice-president of sales and marketing, said of the negotiations with Emirates.”I think they’ve committed to the 777-9, their future depends on it. Our future depends on Emirates. “So, when two parties depend on each other, you can normally find a way to do more business.”Boeing’s delays have forced Emirates to refurbish much of its existing fleet, including its Airbus A380s which are now out of production.As it searches for ways to replace the giant A380s, the latest order includes the option to upgrade to a bigger version of the 777X, if Boeing chooses to build it.Boeing will take a “hard look” at building a bigger plane, but has not made any commitments, McMullen said.”We have committed that we’re gonna study it. And that’s what we’re gonna do,” he said.”It’s probably no secret that Emirates has wanted a bigger aircraft to replace the A380s, and we’re gonna see if that’s our airplane.”Emirates also said it would start rolling out free in-flight wifi via Starlink, Elon Musk’s satellite-powered network, from Sunday.

Stock markets struggled on Monday on concerns the US Federal Reserve could hold off on further rate cuts this year and fears of a tech bubble.Meanwhile, simmering tensions between China and Japan hit tourism and retail firms on Tokyo’s exchange.The tepid mood on trading floors dragged on the crypto sector, with bitcoin briefly erasing all its gains this year — just over a month after hitting a record high.Major European indices edged lower, tracking losses in Asia.The European Union on Monday cut its eurozone growth forecast for 2026 as risks from international trade and geopolitical tensions weigh on Europe’s economy.Investors have in recent weeks reconsidered prospects for US rate cuts and the AI-fuelled tech rally that had lifted several markets to record highs.Traders are keenly awaiting the release of several reports — including on jobs and inflation — that had been held up by the record US government shutdown that ended last week.With data releases delayed, “chances are growing that the Fed will avoid changing monetary policy when the economic outlook remains murky”, said Kathleen Brooks, research director at trading group XTB.Federal Reserve boss Jerome Powell signalled last month that a December cut to borrowing costs was not assured, adding to uncertainty.There is also growing unease surrounding lofty tech valuations, with warnings that an AI bubble could soon burst.All eyes are on this week’s release of earnings from chip titan Nvidia, which this month became the first $5.0 trillion company.After a tepid end to the week on Wall Street, major Asian indices closed lower on Monday.Tokyo fell as figures showed Japan’s economy shrank 0.4 percent in the three months to September.Tourism and retail firms were among the worst hit after China advised its citizens not to travel to Japan amid a diplomatic spat over comments by Prime Minister Sanae Takaichi about Taiwan.Cosmetics firm Shiseido dived more than nine percent and Uniqlo-owner Fast Retailing shed 4.8 percent.Department store group Mitsukoshi fell 11.3 percent and Pan Pacific, behind discount retail chain and tourist magnet Don Quijote, slid 5.3 percent.China is the biggest source of tourists to Japan.The diplomatic feud between China and Japan was ignited by Takaichi’s suggestion that Tokyo could intervene militarily in any attack on Taiwan.Bitcoin suffered from the uncertain climate on trading floors, with the digital unit briefly dropping to $92,935.51. It bounced back slightly to sit above $95,000 on Monday.The cryptocurrency climbed to a record high of $126,251 on October 6, buoyed by US President Donald Trump’s pledges to ease regulation on the crypto sector.- Key figures at around 1130 GMT -London – FTSE 100: DOWN 0.1 percent at 9,684.69 pointsParis – CAC 40: DOWN 0.4 percent at 8,137.73Frankfurt – DAX: DOWN 0.5 percent at 23,755.81Tokyo – Nikkei 225: DOWN 0.1 percent at 50,323.91 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 26,384.28 (close)Shanghai – Composite: DOWN 0.5 percent at 3,972.03 (close)New York – Dow: DOWN 0.7 percent at 47,147.48 (close)Dollar/yen: UP at 154.83 yen from 154.55 yen on FridayEuro/dollar: DOWN at $1.1598 from $1.1621 Pound/dollar: DOWN at $1.3165 from $1.3171Euro/pound: DOWN at 88.09 pence from 88.22 penceWest Texas Intermediate: FLAT at $60.07 per barrelBrent North Sea Crude: FLAT at $64.36 per barrel

Bangladesh signed on Monday a 30-year lease with global shipping giant Maersk to run a new container terminal at its largest port, a major deal inked despite dockers’ concerns.”It will be our economic gateway. It will open doors to the future” and help boost economic growth, interim leader Muhammad Yunus said in a statement.Bangladesh, the world’s second-largest garment exporter, relies heavily on Chattogram port — formerly known as Chittagong and strategically located on the Bay of Bengal — for the vast majority of imports and exports.The port is Bangladesh’s main trade gateway and a vital hub in the global garment supply chain.Shipping giant A.P. Moller–Maersk will develop the Laldia Container Terminal on the city’s outskirts through its APM Terminals subsidiary, according to Yunus’s statement.”This is a new beginning for the country,” the interim leader said.The lease agreement “opens a new door for larger and more diversified investment”, he added.Officials at the Chattogram Port Authority said the contract involves APM Terminals investing about $550 million over the next three years to develop the site, boosting cargo-handling efficiency, safety and transparency.APM Terminals will then operate the facility for the remainder of the 30-year concession.This is the first major port deal signed with foreign firms under Yunus, whose interim administration took over after the government of Sheikh Hasina was toppled in a mass uprising in August 2024.The role of foreign operators has sparked anger among some, with dockers this month escalated a strike, worried for their jobs.But supporters of the project say foreign expertise and investment would modernise operations.UAE-based DP World has expressed interest in operating another facility, Chattogram’s New Mooring Container Terminal, and port officials say contract negotiations continue.The government is also in talks with Medlog SA, part of the Switzerland-based Mediterranean Shipping Company (MSC), for an inland terminal on the outskirts of the capital Dhaka.

Japanese tourism and retail shares dived on Monday after China warned its citizens to avoid the tourist hotspot in a spat over Prime Minister Sanae Takaichi’s comments on Taiwan.A senior Japanese official meanwhile arrived in China seeking to defuse the row sparked by Takaichi’s suggestion that Tokyo could intervene militarily in any attack on the self-ruled island.Asia’s two top economies are closely entwined, with China the biggest source of tourists — almost 7.5 million visitors in the first nine months of 2025 — coming to Japan.Drawn by a weak yen making shopping cheaper, they collectively splurged more than a billion dollars a month in the third quarter, accounting for almost 30 percent of all tourist spending.Japan was also the fourth-most popular destination for Chinese tourists last year, helping the land of Mount Fuji, sushi and geishas set new records for foreign arrivals.But in fears that this may now stop, investors wiped nine percent off Japanese cosmetics firm Shiseido’s market value on Monday.Department store group Mitsukoshi fell 11.3 percent and Pan Pacific, behind discount retail chain and tourist magnet Don Quijote, slid 5.3 percent.Japan Airlines, whose shares nosedived 3.4 percent, has not seen any major cancellations on flights to and from China, a spokesperson told AFP.Before taking power last month, Takaichi was a vocal critic of China and its military build-up in the Asia-Pacific.If a Taiwan emergency entails “battleships and the use of force, then that could constitute a situation threatening the survival (of Japan)”, Takaichi, 64, told parliament on November 7.Under Japan’s self-imposed rules, an existential threat is one of the few cases where it can act militarily. Taiwan sits around 100 kilometres (60 miles) from the nearest Japanese island.- ‘Troublemaker’ -Japan said Monday it scrambled aircraft after detecting a suspected Chinese drone near its southern island of Yonaguni, which is close to Taiwan, on Saturday.Beijing insists Taiwan — which Japan occupied for decades until 1945 — is part of its territory, and the prime minister’s comments have sparked a furore.This has included a Chinese diplomat stationed in Japan threatening to “cut off that dirty neck”, apparently referring to Takaichi, and China and Japan have summoned each other’s ambassadors.Beijing also advised its citizens to avoid travelling to the country and warned the roughly 100,000 Chinese students in Japan that there were risks to their safety.Japan’s Chief Cabinet Secretary Minoru Kihara told reporters on Monday that the announcements were “incompatible with the broader direction agreed upon by the leaders of the two nations”.On Sunday, Chinese coast guard vessels spent several hours in Japan’s territorial waters around the disputed Senkaku Islands, known as the Diaoyu in China and a frequent flashpoint, Kihara said.In Beijing, tech worker Daniel Feng called the Chinese government’s responses “very restrained” given Takaichi’s “extremely unreasonable” remarks.”If she spouts words, that’s not a problem… but if they take real action, our country’s military will definitely defeat them,” the 40-year-old told AFP.Taiwanese President Lai Ching-te called on Beijing on Monday to “show restraint, act like a major power, and not become the troublemaker” in the Asia-Pacific region, where peace and stability have been “severely impacted”.”China should return to the path of a rules-based international order, which would help maintain peace, stability and prosperity in the region,” Lai told reporters.- Economic hit -Beijing meanwhile said than Chinese premier Li Qiang has no plans to meet with Takaichi in a G20 summit in South Africa later this week which they are both set to attend.A Japanese government official told AFP that Masaaki Kanai, the top foreign ministry official for Asia-Pacific affairs, arrived in China on Monday.”We are trying not to escalate the situation,” the official told AFP.Kanai is expected to hold talks with his Chinese counterpart Liu Jinsong on Tuesday, according to media reports.The diplomatic spat could spell further bad news for Japan’s economy, which shrank by 0.4 percent in the third quarter, official data showed on Monday.Marcel Thieliant at Capital Economics warned that the tensions risked escalating “into a full-blown trade spat” similar to a previous episode in the early 2010s.This could include China restricting exports of rare earths or imposing restrictions on Japanese exports.”Carmakers look particularly vulnerable as they are already under enormous pressure from the ascent of Chinese electric vehicle manufacturers,” Thieliant added.hih-jug-stu-aph/nf/ami

Asian markets were mixed Monday amid simmering concerns that the Federal Reserve will not cut interest rates as hoped next month, while fears of a bubble continue to weigh on sentiment.The tepid mood on trading floors also dragged on the crypto sector, with bitcoin briefly erasing all its gains this year — just over a month after hitting a record high.Meanwhile, simmering tensions between China and Japan hit tourism and retail firms on Tokyo’s exchange.Stocks have enjoyed a healthy rally since their tariff-fuelled swoon in April, with tech firms leading the way as companies pumped eye-watering amounts of cash into all things linked to artificial intelligence.That has been compounded by a weakening US jobs market that has fanned expectations the Fed will cut rates.However, the gains have petered out in recent weeks as investors re-evaluate those two pillars.Fed boss Jerome Powell said a third-straight reduction in borrowing costs was not certain next month, while other officials have hinted they intend to stand pat.The decision makers said they were concerned that inflation remained stubbornly anchored above the bank’s two percent target, overshadowing labour market fears.Traders are keenly awaiting the release of several reports — including on jobs and inflation — that had been held up by the record government shutdown that ended last week.The winding back of rate cut bets comes amid growing unease about the sky-high valuations in the tech sector and warnings that a bubble has formed that could soon burst.All eyes are on this week’s release of earnings from chip titan Nvidia, which this month became the first $5 trillion company.”Nvidia has been partly responsible for powering the AI rally, but is now facing pressure amid concerns about stretched valuations in the sector,” wrote Fiona Cincotta, senior market analyst at City Index.”Worries about an AI bubble have weighed on the sector, and investors are questioning not only the amount of money companies are spending on the tech relative to the returns they’re seeing, but also the circular nature of the spending.”After a tepid lead from Wall Street, Asian markets fluctuated.Hong Kong, Shanghai and Singapore all dropped along with London and Paris.Seoul, Manila, Bangkok, Wellington and Taipei advanced. Sydney and Frankfurt were flat.Tokyo also sank as figures showed Japan’s economy shrank 0.4 percent in the three months to September.Tourism and retail firms were among the worst hit after China advised its citizens not to travel to Japan amid a diplomatic spat over comments by Prime Minister Sanae Takaichi about Taiwan.Cosmetics firm Shiseido dived more than nine percent, department store group Takashimaya nearly six five percent and Fast Retailing — the owner of Uniqlo — shed 4.8 percent.Department store group Mitsukoshi fell 11.3 percent and Pan Pacific, behind discount retail chain and tourist magnet Don Quijote, slid 5.3 percent. Japan Airlines gave up 3.4 percent.China is the biggest source of tourists to Japan.Takaichi’s comments earlier this month were widely interpreted as implying an attack on Taiwan could warrant Tokyo’s military support.If a Taiwan emergency entails “battleships and the use of force, then that could constitute a situation threatening the survival (of Japan), any way you slice it”, she told parliament.The two sides last week summoned each other’s ambassadors, with China then telling its citizens to avoid travelling to Japan.Bitcoin was also suffering from the uncertain climate on trading floors, with the digital unit briefly dropping to $92,935.51 — below the $93,714 mark it finished at on December 31 — according to Bloomberg data. It bounced back slightly in the afternoon to sit above $95,000.The cryptocurrency hit a peak of $126,251 on October 6.Investors spend most of the year piling into bitcoin after Donald Trump returned to the White House pledging to deregulate the crypto sector.The president’s embrace of digital assets has reversed years of US government scepticism towards the industry, with the US House of Representatives passing three landmark cryptocurrency bills in July.- Key figures at around 0815 GMT -Tokyo – Nikkei 225: DOWN 0.1 percent at 50,323.91 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 26,384.28 (close)Shanghai – Composite: DOWN 0.5 percent at 3,972.03 (close)London – FTSE 100: DOWN 0.1 percent at 9,684.31Dollar/yen: UP at 154.72 yen from 154.55 yen on FridayEuro/dollar: DOWN at $1.1612 from $1.1621 Pound/dollar: UP at $1.3176 from $1.3171Euro/pound: DOWN at 88.14 pence from 88.22 penceWest Texas Intermediate: DOWN 0.8 percent at $59.62 per barrelBrent North Sea Crude: DOWN 0.7 percent at $63.97 per barrelNew York – Dow: DOWN 0.7 percent at 47,147.48 (close)