Global markets slide as tech selloff deepens, oil and gold slump

February 02, 2026 / 9:01 AM

Sharjah24-AFP: Global financial markets fell sharply on Monday, extending the volatility seen at the end of last week, as concerns about elevated technology valuations resurfaced. Investors reassessed geopolitical developments, fresh corporate earnings and expectations of US interest rate cuts, triggering broad-based selling across equities, commodities and precious metals.

After a strong start to the year, driven by optimism about artificial intelligence, stocks reversed course as doubts grew about the scale of investment flowing into the sector and the time required to generate meaningful returns. These concerns have revived fears of a potential technology bubble following last year’s surge to record highs.

Asia leads losses

Asian markets recorded steep declines, with Seoul plunging more than five per cent, weighed down by heavy losses in major technology stocks. Tokyo slipped by more than one per cent, while Taipei dropped by more than two per cent. Other regional markets, including Hong Kong (the Special Administrative Region ), Shanghai, Sydney, Singapore, Manila and Bangkok, also closed lower. Jakarta fell by more than five per cent amid investor unease following warnings from index compiler MSCI about Indonesian equities.

Oil and metals under pressure

Oil prices tumbled more than four per cent as easing tensions between the United States and Iran reduced geopolitical risk premiums. Precious metals also extended losses, with gold and silver sliding sharply as a stronger US dollar weighed on prices. The appointment of a hawkish Federal Reserve nominee further bolstered the dollar, adding pressure on commodities priced in the currency.