Tech stock selloff continues in Asia; oil jumps on Yemen

The MSCI Asia Pacific Index sank 1.2 percent by 11 a.m. in Tokyo, as Taiwan Semiconductor Manufacturing Co. and Apple Inc. supplier AAC Technologies Holdings Inc. tumbled at least 3 percent. Japan's Topix gauge fell the most since Jan. 6, while U.S. index futures were little changed. U.S. oil advanced 1.3 percent, a fifth straight gain. The dollar gained 0.4 percent versus the New Zealand and Malaysian currencies. Technology shares drove a 1.5 percent slump in the Standard & Poor's 500 Index Wednesday as investors sold 2015's best-performing equities. Saudi Arabia's bombing of Shiite rebels in Yemen marks an escalation in tensions with Iran, which the world's largest oil exporter blames for fomenting trouble in its southern neighbour. German consumer confidence and U.K. retail sales reports are due, while investors await U.S. jobless claims data after an unexpected drop in durable goods orders. "Wall Street is struggling to add to its recent record high and it looks like the upward momentum is starting to show signs of fatigue," Matthew Sherwood, head of investment markets research in Sydney at Perpetual Ltd., which manages about $21 billion, said by phone. Taiwan Sinks Japan's Topix index fell 1.7 percent. The Kospi index slipped 0.6 percent in Seoul. Taiwan's Taiex index sank 0.9 percent, as TSMC tumbled 3 percent. Semiconductor makers comprise 23 percent of the Taiex, the biggest grouping, according to data compiled by Bloomberg. In Hong Kong, AAC Technologies plunged 7.7 percent, the biggest retreat in the Hang Seng Composite Index. The Hang Seng Index weakened 0.2 percent and a gauge of Chinese shares in the city fell 0.5 percent. The Shanghai Composite Index swung between gains and losses after snapping its longest winning streak in almost 23 years on Wednesday. Technology shares in the S&P 500 slid 2.7 percent to lead losses among nine of the 10 main groups in the gauge. Advanced Micro Devices Inc. and Nvidia Corp. plunged at least 5 percent after analysts said a slowdown in demand for desktop computers may hurt sales. The Philadelphia Semiconductor Index fell 4.6 percent for its biggest drop in five months. Buyback Pause Stocks are entering a stretch of the year when companies customarily suspend share repurchases before reporting quarterly results, according to Goldman Sachs Group Inc. Computer and software makers repurchased more shares than any other industry in 2014 at $122 billion, according to data compiled by Barclays Plc. West Texas Intermediate crude futures gained as much as 1.4 percent to trade near $50 a barrel, the highest intraday price since March 10. Brent gained 1.7 percent to $57.44 in London. King Salman ordered the airstrikes against Shiite Houthi positions after an "appeal" from Yemen's President Abdurabuh Mansur Hadi, Saudi Ambassador Adel al-Jubair said in Washington. Prices slid earlier on Thursday after a U.S. government report showed crude inventories and production swelling further last week to the most in more than three decades, Kazinform refers to Bloomberg.