Nvidia CEO Question Sends Asia Tech Lower: Taiwan Slumps 2.63%, Hang Seng Down 1.26%

📊 Asia Market Close

1. CSRC vice chairman vows to strengthen market stability

Source: Lanjing News

Speaking at the 2026 Shanghai Stock Exchange Global Investors Conference on Nov 12, CSRC Vice Chairman Liu Haoling said the supporting conditions and fundamentals for China's long-term economic improvement have not changed, and the safety, resilience and innovation value of Chinese assets will continue to stand out. He said the regulator will improve market-stabilisation mechanisms, strengthen the market's internal stability and work with relevant departments on a policy package to steady the market and expectations.

On specific measures, Liu said the two structural monetary policy tools will be fully used, with securities and fund companies having launched a third batch of swap facility operations worth 100 billion yuan; listed companies are being supported in stepping up buybacks and stake increases, with newly disclosed buyback plans, actual buyback amounts and cancelled buybacks all hitting record highs this year; the regulator will enrich investment tools, expand equity product supply and encourage active ETFs to build positions faster, while widening funding sources and channels for medium- and long-term money.

He also offered several figures: GDP in the first three quarters exceeded 107 trillion yuan, up 4.6% year on year; social security, annuity and insurance funds have net bought more than 600 billion yuan of A-shares since the start of the year; the SSE STAR Market now hosts more than 600 companies, whose R&D spending reached 147.1 billion yuan in the first three quarters, up 26% year on year.

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2. SMIC posts 91.6% profit growth in first nine months

Source: Sina Finance

SMIC released its third-quarter report on the evening of Nov 12: revenue for the first nine months was 60.618 billion yuan, up 22.4% year on year, while net profit attributable to shareholders was 7.314 billion yuan, up 91.6%. Third-quarter revenue was 21.983 billion yuan, up 28.1%, and net profit was 2.847 billion yuan, up 87.6%.

The company said the change was mainly due to higher wafer shipments, improved capacity utilisation and a shift in product mix. Third-quarter gross margin was 29.9%, up 4.6 percentage points from the previous quarter.

For the fourth quarter, SMIC guided revenue to rise 4%-6% quarter on quarter, with gross margin of 26%-28%. It said it will expand capacity in line with customer demand and build leading positions with a high-value product mix to strengthen resilience through cycles.

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3. Beijing issues three-year plan for embodied AI robots

Source: 21st Century Business Herald

On Nov 11, the Beijing Municipal Bureau of Economy and Information Technology issued the Beijing Action Plan for High-Quality Development of the Embodied Intelligent Robot Industry (2026-2028), positioning the sector as a key field of high-end industries and a key breakthrough for future industries.

The plan calls for nurturing at least five world-class and ten domestically leading humanoid robot makers by 2028, with the Beijing-Tianjin-Hebei region accounting for 25% of national complete-machine capacity and more than 60% localisation of key components. It sets out six major projects covering model and hardware innovation, public infrastructure such as data and computing power, scenario opening, safety governance and factor support, including building a national data infrastructure for embodied intelligence that collects more than one million hours of high-quality data in at least 100 real-world scenarios.

Jiang Guangzhi, head of the Beijing bureau, said in September at the China International Fair for Trade in Services that Beijing had built the first national-local joint innovation centre for humanoid robots, with more than 940 companies across the industrial chain. Zhang Yufeng, founder and CEO of Wujie Dynamics, told the 21st Century Business Herald that the policy coordinates all the conditions needed from technology breakthroughs to large-scale application, so companies can get support at every stage of growth.

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4. Hong Kong tech heavyweights tumble in afternoon trade

Source: 21st Century Business Herald

In afternoon trade on Nov 12, the Hang Seng Tech Index widened losses to 2%, with major internet names falling sharply: Zhipu down nearly 8%, MINIMAX down more than 7%, Alibaba down more than 5%, Kuaishou down more than 4%, BYD Electronic down more than 3%, and Lenovo Group and JD.com down more than 2%.

The Hang Seng Index closed at 24,008.55, down 307.37 points or 1.26%.

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5. Japan's October PPI rises 7.1%, beating forecasts

Source: Jinwu Finance

Japan's producer price index rose 7.1% year on year in October, above the market forecast of 6.5% and faster than September's 6.8%, a four-month low. The data points to renewed upstream inflation pressure, likely reflecting higher raw material, energy and import costs as the yen weakens.

On a monthly basis, PPI rose 0.7% in October, reversing a revised 0.2% decline in September and beating the 0.3% forecast, marking the biggest monthly gain in five months.

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6. Korean stocks snap two-day rally; Samsung gains against the tide

Source: TradingKey

South Korea's KOSPI opened higher and briefly topped 5,400 points on Nov 12 before softening with the broader Asian market, closing down 0.61% at 5,342.73 and ending a two-session winning streak.

Heavyweights diverged: Samsung Electronics rose 1.7% to 209,500 won, holding above the 200,000-won mark, while SK Hynix fell 1.17% to 1,262,000 won. The report noted that the KOSPI still has solid support around 5,000 points, helped by the US data centre construction boom and rising Korean semiconductor exports.

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7. Taiwan stocks sink 1,165 points as TSMC falls NT$55

Source: Economic Daily News

Taiwan's weighted index closed down 1,165.28 points, or 2.63%, at 43,091.87 on Nov 12, with turnover of NT$1.0133 trillion. TSMC closed at NT$2,340, down NT$55 or 2.3%.

After three straight sessions of gains, the market opened higher but faded. Although US stocks closed higher overnight, technical weakness sapped buying, and selling emerged after 11:30 am; the index broke below 44,000 points without strong buyers stepping in and kept testing support at the 10-day moving average.

First Gold Investment Consulting said risk appetite has clearly recovered and, with TSMC's strong operating momentum, continued AI infrastructure demand and active domestic buying, the short-term rebound has room to extend; however, given the large accumulated gains, lingering US inflation pressure and heavy foreign futures short positions, the index is likely to trade in a high-range consolidation. Liao Ping-kun, a fund manager at E.Sun Growth Fund, said the core driver of the correction is the market reassessing the long-term growth rate and valuation of the AI industry rather than a systemic deterioration in corporate earnings, and that 40,000-43,000 points should gradually emerge as medium-term support.

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8. China, US in close touch on 30-billion-for-30-billion tariff cut

Source: Xinhua Finance

At a regular Ministry of Commerce briefing on Nov 12, spokesman He Yadong said the reciprocal 30-billion-for-30-billion tariff reduction framework is conducive to stabilising and expanding bilateral trade and that business communities in both countries have high expectations for it. The two sides remain in close communication on implementing the arrangement, and he expressed hope that both sides will work together to bring it into effect quickly and create more favourable conditions for agricultural trade.

He added that on economic and trade consultations, China and the US are maintaining close communication on respective concerns in trade and investment, and progress will be announced in due course. Foreign Ministry spokesman Mao Ning told a regular press briefing the same day that the two sides maintain close communication on interactions between their heads of state, and China is ready to work with the US to implement the important consensus and build a constructive strategic relationship of stability based on respect, fairness and reciprocity.

Asked about some EU countries banning Chinese company equipment, He said China has expressed serious concern to the governments involved, believes 5G is important infrastructure for the global digital economy and that its construction and operation should respect market rules, technological neutrality and international rules, and firmly opposes politicising or over-securitising technical issues.

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9. Nvidia CEO's future unresolved, Asia tech under pressure

Source: Reuters

A flurry of reports said Nvidia's board met late on Wednesday to decide whether to oust long-time CEO Jensen Huang, Reuters reported on Nov 12. The reports followed allegations that Huang had an affair with a woman suspected of being a Chinese spy; the New York Times also reported that Huang had had an affair with a fellow Nvidia executive. The news sent Nvidia shares down nearly 7% in premarket US trading.

In markets, the US 10-year Treasury yield touched 5% again during European hours and the dollar reached a 19-month high. According to CME's FedWatch tool, traders now price a 90% chance of a 25-basis-point Fed rate hike in December and a 9.2% chance of a 50-basis-point move. European stocks bucked the trend, with the STOXX 600 hitting its first record high since August.

In Hong Kong, Chinese tech firms that use Nvidia chips for their AI models fell heavily, with Alibaba and Tencent down 6.7% and 2.6% respectively, on concerns Washington may curb access to offshore data centres with the most advanced processors. Brent crude recovered above $92 a barrel. Jake Dollarhide, CEO of Longbow Asset Management, said it looks bad from every single angle and that he believes the board will not oust Huang until it has an all-star, known replacement from the tech sector. Saxo Bank chief investment strategist Charu Chanana said Nvidia's earnings next Tuesday are the next key test, and that strong results could reaffirm the AI growth story but may not fully remove the governance discount. Chinese domestic GPU makers surged on Thursday.

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10. Gold slips below $4,000 as institutions flag $3,900 test

Source: Sina Finance

Spot gold fell below $4,000 an ounce on Nov 12, trading at $3,955.44 an ounce, down 0.78%, as of publication. The move followed a hotter-than-expected US October CPI print and hawkish comments from Fed officials, which reinforced bets on a December rate hike.

Bart Melek, head of commodity strategy at TD Securities, said in a Nov 10 report that with higher rates and a stronger dollar continuing to weigh on investment demand, gold is expected to retest support near $3,900 an ounce. He noted that futures markets have fully priced a December hike, putting the level previously seen as a solid floor to the test. TD said central banks and the broader official sector have bought 675 tonnes of gold this year, up 6% from the same period of 2025, but that is not enough to offset weaker investment demand, and gold may stay in a $3,900-$4,200 range; once the US-Iran conflict and the oil-driven inflation it fuelled fade, gold could rise above $5,300 an ounce in 2027.

Suki Cooper, global head of commodities research at Standard Chartered, argued that improving investment inflows and strong central bank demand are building a solid price floor. She reiterated a fourth-quarter average forecast of $4,650 and sees $4,850 in the first quarter of 2027, with $4,200 the next major resistance; the bank expects the Fed to hike only 25 basis points in December and then hold rates steady through 2027. She noted that global gold-backed ETPs drew 211 tonnes of demand in the third quarter, the strongest quarter since 2024, with another 19 tonnes of inflows in October, while official-sector buying reached 321 tonnes in the third quarter, far above the bank's 200-tonne estimate. Christopher Wong, a strategist at OCBC in Singapore, said gold could fall to $3,870 an ounce.

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