Asian Stocks Mixed as Trump’s Visa Crackdown Hits India Tech, Japan Rebounds on BOJ Moves
Asian equities traded mixed on Monday, with Japanese shares rebounding despite a hawkish Bank of Japan stance, while Indian technology stocks tumbled after U.S. President Donald Trump imposed new restrictions on worker visas.
Chinese markets lagged, and profit-taking in major internet names alongside losses in BYD pressured Hong Kong’s Hang Seng index.
The region took some support from Wall Street’s record highs last week after the Federal Reserve cut interest rates. Still, momentum cooled on Monday, with S&P 500 futures down 0.1% in Asian trading. Investors now await a wave of U.S. economic data and remarks from Fed officials, including Chair Jerome Powell on Tuesday.
India’s Tech Sector Hit by Trump’s H-1B Visa Order
India’s Nifty 50 opened slightly weaker, dragged down by major IT and outsourcing firms. Tech Mahindra, Tata Consultancy Services, Infosys, and Wipro fell between 2% and 4%.
The slump followed Trump’s move on Friday to impose a $100,000 annual fee on companies seeking new H-1B visas, a program heavily used by Indian tech firms to place skilled workers in U.S. projects. The sector, which earns nearly 60% of its revenue from overseas markets, faces mounting pressure under Trump’s tougher stance.
Adding to the strain, Trump last month also doubled tariffs on Indian imports to 50% over its Russian oil purchases. Still, local markets found some relief after Prime Minister Narendra Modi said on Sunday that recent consumer tax cuts would help spur growth.
Japan Rebounds Despite BOJ Hawkish Tone
Japan’s Nikkei 225 and TOPIX indexes gained 1.5% and 0.9%, respectively, after sliding from record highs on Friday. The Bank of Japan left rates unchanged but signaled plans to slowly unwind its massive holdings of exchange-traded funds.
The move hinted at further monetary tightening, raising concerns for tech and semiconductor stocks with heavy ETF exposure. However, the BOJ said planned sales would be limited, while Governor Kazuo Ueda struck a moderate tone, easing fears of imminent rate hikes.
Samsung Lifts South Korea’s KOSPI
South Korea’s KOSPI climbed 0.9%, outperforming most regional peers. Samsung Electronics surged as much as 5% after reports confirmed it received approval from NVIDIA to supply advanced AI memory chips.
The deal repositions Samsung against rivals SK Hynix and Micron Technology, as competition in the fast-growing AI semiconductor market intensifies.
Broader Asia Market Moves
Elsewhere, Hong Kong’s Hang Seng fell for a third straight session, pressured by profit-taking and a more than 3% drop in BYD after reports that Berkshire Hathaway had sold its remaining stake.
Mainland China’s CSI 300 and Shanghai Composite were flat after the PBOC left its loan prime rate unchanged, as expected. Investors remain focused on U.S.-China trade talks, with both sides recently reaching consensus on the operations of TikTok in the U.S.
In other markets, Australia’s ASX 200 rose 0.4%, while Singapore’s Straits Times Index ended flat.
