Asian shares rebounded on Friday, 16 October, following Thursday’s sharp technology sell-off, while European and South African equities opened mostly higher. However, the recovery was far from universal: Indonesian stocks plunged again, and markets in the United Arab Emirates opened mixed.
Thursday’s turbulence was not a uniform global crash. Despite heavy losses in Asian technology markets, Wall Street recovered before the close, with the S&P 500 finishing approximately 0.3% higher.
Asia recovers as Indonesia faces another shock
Japan’s Nikkei 225 gained around 1.9% during Friday’s session, while South Korea’s KOSPI advanced approximately 3.3%. Both recovered part of Thursday’s losses, when the Japanese benchmark dropped 4.9% and its South Korean counterpart fell 7.6%.
Concerns about debt-financed artificial-intelligence investment remained central after scrutiny of cloud-computing company CoreWeave’s borrowings helped trigger the sell-off.
Indonesia moved sharply in the opposite direction. Jakarta’s benchmark opened 8% lower, triggering a temporary trading halt, before its decline reached as much as 11.4%. MSCI’s proposed downgrade of Indonesia from emerging-market to standalone status raised fears of substantial investment outflows.
South Africa opens firmer
Johannesburg’s Top-40 index rose approximately 0.2% in early trading. The rand also strengthened around 0.3% against the dollar, with investors turning their attention towards next week’s medium-term budget and its implications for public finances.
Egypt’s stock exchange was closed for its regular Friday weekend, meaning there was no new opening session in Cairo.
Arab markets show a mixed picture
Markets in the United Arab Emirates opened mixed, according to regional financial publication Mubasher. The session followed Thursday’s declines of approximately 1.1% in Dubai and 0.3% in Abu Dhabi.
Saudi Arabia’s exchange was closed on Friday under its normal Sunday-to-Thursday trading calendar. Its absence from trading therefore reflected the weekend rather than an emergency response to the sell-off.
Europe advances, although London lags
Europe’s STOXX 600 rose 0.3% to 641.75 points shortly after opening. Germany’s DAX gained around 0.5%, while France’s CAC 40 slipped 0.1%.
London’s FTSE 100 fell approximately 0.3%, with banking shares under pressure following reports of potential increases in taxes on bank profits.
Stronger corporate outlooks, including an upgraded forecast from Schneider Electric, helped support continental markets. Friday’s opening picture therefore suggested selective stabilisation rather than an across-the-board recovery, with Japan and South Korea still having substantial ground to regain.
NewsHub Finance | Global markets | 16 October 2026
Asian shares rebounded on Friday, 16 October, following Thursday’s sharp technology sell-off, while European and South African equities opened mostly higher. However, the recovery was far from universal: Indonesian stocks plunged again, and markets in the United Arab Emirates opened mixed.
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