{"id":66934,"date":"2026-08-23T22:08:13","date_gmt":"2026-08-24T02:08:13","guid":{"rendered":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/geopolitical-tensions-and-tech-sell-off-weigh-on-global-markets\/66934\/"},"modified":"2026-08-23T22:08:13","modified_gmt":"2026-08-24T02:08:13","slug":"geopolitical-tensions-and-tech-sell-off-weigh-on-global-markets","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/geopolitical-tensions-and-tech-sell-off-weigh-on-global-markets\/66934\/","title":{"rendered":"Geopolitical Tensions and Tech Sell-Off Weigh on Global Markets"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/geopolitical-tensions-and-tech-sell-off-weigh-on-global-markets\/66934\/#Key_Takeaways\" >Key Takeaways<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/geopolitical-tensions-and-tech-sell-off-weigh-on-global-markets\/66934\/#Tech_Rout_and_Market_Volatility\" >Tech Rout and Market Volatility<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/geopolitical-tensions-and-tech-sell-off-weigh-on-global-markets\/66934\/#Middle_East_De-escalation_and_Maritime_Risks\" >Middle East De-escalation and Maritime Risks<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/geopolitical-tensions-and-tech-sell-off-weigh-on-global-markets\/66934\/#Commodity_Wars_Indonesia_vs_Malaysia\" >Commodity Wars: Indonesia vs. Malaysia<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/geopolitical-tensions-and-tech-sell-off-weigh-on-global-markets\/66934\/#Central_Bank_Operations_and_Credit_Ratings\" >Central Bank Operations and Credit Ratings<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/geopolitical-tensions-and-tech-sell-off-weigh-on-global-markets\/66934\/#European_Defense_Shifts\" >European Defense Shifts<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Key_Takeaways\"><\/span>Key Takeaways<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><strong>Hang Seng Tech Index (HSTECH)<\/strong> plummeted <strong>3%<\/strong>, ending a recent winning streak as heavy selling hit major offshore Chinese growth stocks.<\/li>\n<li><strong>Syria and Israel<\/strong> held high-level de-escalation talks in Jordan following Israeli airstrikes on the <strong>Abu Duhur<\/strong> airbase, aiming to prevent a direct conflict between Israel and Turkey.<\/li>\n<li><strong>Strait of Hormuz<\/strong> vessel traffic fell to fewer than <strong>20 commodity vessels<\/strong> over the weekend, a sharp decline from historical norms driven by a U.S. naval blockade and Iranian threats.<\/li>\n<li><strong>Indonesia<\/strong> challenged Malaysia&#39;s pricing dominance by announcing a new commodity exchange for <strong>palm oil, nickel, and coal<\/strong>, set to launch on January 1.<\/li>\n<li><strong>Fitch Ratings<\/strong> announced plans to withdraw credit ratings for <strong>Hang Seng Bank (<a href=\"\/stock\/0011.HK\">0011.HK<\/a>)<\/strong> for commercial reasons, following a standard notification period.<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Tech_Rout_and_Market_Volatility\"><\/span>Tech Rout and Market Volatility<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Heavy selling in technology heavyweights dragged the <strong>Hang Seng Tech Index<\/strong> down <strong>3%<\/strong>, halting a multi-session winning streak for offshore Chinese growth stocks. Investors locked in profits amid rising <strong>U.S. Treasury yields<\/strong> and persistent geopolitical friction in the Middle East, which have dampened the outlook for high-valuation growth sectors. The broader <strong>Hang Seng Index<\/strong> also faced pressure, reflecting a cautious shift in global sentiment as funding costs remain elevated.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Middle_East_De-escalation_and_Maritime_Risks\"><\/span>Middle East De-escalation and Maritime Risks<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>In a rare diplomatic development, <strong>Syria<\/strong> held high-level talks with <strong>Israel<\/strong> in Jordan to address regional de-escalation and tensions between Israel and <strong>Turkey<\/strong>. The meeting followed Israeli strikes on the <strong>Abu Duhur<\/strong> airbase, which Israel claimed were intended to prevent Turkish military entrenchment. Despite these talks, maritime security remains precarious; tracking metrics show fewer than <strong>20 commodity vessels<\/strong> traversed the <strong>Strait of Hormuz<\/strong> over the weekend, a significant drop from historical baselines.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Commodity_Wars_Indonesia_vs_Malaysia\"><\/span>Commodity Wars: Indonesia vs. Malaysia<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><strong>Indonesia<\/strong> is intensifying its battle for <strong>palm oil<\/strong> pricing power against <strong>Malaysia<\/strong>. President <strong>Prabowo Subianto<\/strong> announced a new national exchange for palm oil, nickel, and coal to establish domestic benchmarks and reduce reliance on <strong>Bursa Malaysia&#39;s<\/strong> futures contracts. While Indonesia is the world&#39;s largest producer of palm oil, analysts remain skeptical that physical supply dominance will immediately translate into the liquidity required to unseat established Malaysian pricing.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Central_Bank_Operations_and_Credit_Ratings\"><\/span>Central Bank Operations and Credit Ratings<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The <strong>Bank of Korea<\/strong> conducted open-market operations, selling <strong>91-day Monetary Stabilization Bonds (MSBs)<\/strong> at an auction yield of <strong>2.965%<\/strong>. This move comes as the central bank balances inflationary pressures against signs of a moderating economy. Meanwhile, <strong>Fitch Ratings<\/strong> notified the market that it will withdraw its credit ratings for <strong>Hang Seng Bank (<a href=\"\/stock\/0011.HK\">0011.HK<\/a>)<\/strong>, a subsidiary of <strong>HSBC Holdings (<a href=\"\/stock\/HSBA\">HSBA<\/a>)<\/strong>, citing commercial reasons for the termination of coverage.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"European_Defense_Shifts\"><\/span>European Defense Shifts<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><strong>Finland<\/strong> has signaled openness to discussions regarding the extension of <strong>France&#39;s nuclear umbrella<\/strong> across Europe. Foreign Minister <strong>Elina Valtonen<\/strong> indicated that while Finland does not intend to host nuclear weapons permanently, it is interested in &quot;advanced deterrence&quot; concepts proposed by French President <strong>Emmanuel Macron<\/strong>. This shift follows Finland&#39;s recent legislative changes to its <strong>Nuclear Energy Act<\/strong>, allowing for the transport and potential temporary deployment of nuclear materials as part of <strong>NATO<\/strong> operations.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways Hang Seng Tech Index (HSTECH) plummeted 3%, ending a recent winning streak as heavy selling hit major offshore 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