Opening

On November 5, US AI and semiconductor stocks weakened again: Nvidia fell 8.2% in a single session and Micron dropped nearly 14%. The same day brought reports that 39 out of 45 data center ballot measures nationwide had passed restrictions. Also on November 5, Hong Kong's Joshua Wong was sentenced to 10 years in his second national security case; in South America, Paraguayan President Santiago Peña, already facing impeachment, announced his resignation just hours after the central bank took over digital bank Ueno. As for Japan's newborn figures hitting a first in 11 years, more on that below.

Today's International Focus

1. US AI Stocks Tumble: 39 of 45 Data Center Ballot Measures Pass Restrictions

• What happened: According to Al Jazeera's November 5 report, US semiconductor and data center stocks led the decline, with the Nasdaq down 4.8% intraday, the S&P 500 down 3.6%, and the Dow down 2.8%. Nvidia fell 8.2% on the day and Micron dropped nearly 14%. The report notes that investors are weighing the overall impact of the midterm election results on the AI industry, with one variable being that 39 of 45 data center ballot measures nationwide passed restrictions on AI construction. UBS estimates that roughly 30% of new US data center capacity slated for 2028 is at risk of being paused.
• Why it matters: What the market is watching isn't just a single day's drop, but whether the pace of AI capital expenditure will shift because of local-level construction restrictions. These estimates are projections; how much capacity actually comes online still depends on subsequent local approvals and how operators adjust.
• Taiwan angle: If US data center buildout slows, order visibility for Taiwan's foundry and server supply chains could be affected. For now, the source material only mentions an expectation that this "will show up in orders and share prices," with no concrete order data yet.
• Source: Al Jazeera (https://www.aljazeera.com/economy/2026/11/5/ai-stocks-plunge-after-election-driving-down-us-markets)

2. Hong Kong's Joshua Wong Sentenced to 10 Years in Second National Security Case

• What happened: According to CBC News on November 5, Hong Kong pro-democracy figure Joshua Wong was sentenced to 10 years in prison in his second national security law case. The report notes that Wong, now 30, had been serving a four-year, eight-month sentence and was roughly two months from release. The report also mentions that critics see the case as reflecting the suppression of civil society in Hong Kong.
• Why it matters: The ruling shapes outside readings of the scope and sentencing standards of Hong Kong's national security law. The Hong Kong government's public position is not recorded in this source and would need separate verification.
• Taiwan angle: For those following the rule of law in Hong Kong, as well as Taiwanese residents and corporate staff working there, this is a bellwether case that goes onto the risk-assessment checklist.
• Source: CBC News (https://www.cbc.ca/news/world/joshua-wong-second-sentence-9.7410128)

3. Paraguayan President Peña Resigns: Central Bank Takes Over Digital Bank Ueno

• What happened: According to an Associated Press wire story (published by ABC News on November 5), President Santiago Peña announced his resignation hours after Paraguay's central bank took control of major digital bank Ueno. He was facing impeachment proceedings at the time, and clashes between demonstrators and riot police had broken out in the streets. The report says the bank claims more than 60% of Paraguay's adult population as customers, and that eight executives have been detained, including founder Miguel Vázquez and bank president Juan Manuel Gustale.
• Why it matters: The takeover of a digital bank with such broad coverage has an impact on local payments and deposit confidence that is still unfolding. As for the relationship between the resignation, the bank intervention, the impeachment proceedings, and the street protests, the source material only presents the sequence of events, not causation.
• Taiwan angle: Paraguay is Taiwan's diplomatic ally in South America, so the political transition and financial situation are key things to watch for Taiwan-Paraguay relations going forward.
• Source: ABC News (AP wire) (https://abcnews.com/US/wireStory/paraguay-president-santiago-pea-resigns-bank-collapse-137881803)

4. Japan Records 320,458 Births in First Half: First January-June Increase in 11 Years

• What happened: According to Anadolu Agency's November 5 daily briefing, Japanese government statistics show 320,458 Japanese-national births in the first half of 2026, up 0.4% year over year, the first increase for the January-June period in 11 years.
• Why it matters: A 0.4% rise is a small movement in demographic terms. Whether it becomes a trend depends on the full-year figure and comparisons with subsequent years; a single half-year data point isn't enough to draw conclusions.
• Taiwan angle: As another low-fertility society, Taiwan often uses the results of Japan's policies as a reference point when debating birth support measures.
• Source: Anadolu Agency (https://aa.com.tr/en/world/morning-briefing-nov-5-2026/4112214)

5. London Jury Convicts Russell Brand on Four Sexual Offense Counts

• What happened: According to Euronews on November 5, a London jury found British comedian Russell Brand guilty on four sexual offense counts, including one count of rape and three of sexual assault. The report says the case involved four women, with the incidents occurring between 2005 and 2009 at different locations. The trial was held at Southwark Crown Court in London before Mr Justice Bennathan.
• Why it matters: The source does not address sentencing procedures or whether an appeal will follow, which is what to watch next.
• Taiwan angle: The case has some visibility in Taiwan, and how his existing work and streaming platform content are handled could become part of the follow-on discussion.
• Source: Euronews (https://www.euronews.com/2026/11/05/british-comedian-russell-brand-found-guilty-of-rape-and-three-sexual-assaults-by-london-ju)

Closing

The thing most worth remembering today is the market's recalculation of the pace of AI buildout: 39 of 45 data center ballot measures passing restrictions, plus UBS's estimate for 2028 capacity, turns "will AI investment slow down" from a slogan into a variable that has to go into financial forecasts. Separately, according to Democracy Now!'s November 5 daily headlines roundup, the World Health Organization has approved trials for two new Ebola vaccines in response to the current outbreak, though that roundup does not specify the vaccine names, trial locations, or the countries affected, so please defer to WHO's official announcement. Over the next few days, Muyan will keep tracking the follow-through in US tech stocks, Paraguay's power transition arrangements, and reactions to the Joshua Wong case. See you tomorrow.