Asia stocks slip, gold retreats sharply as valuation fears surface

During overnight Asia trading on October 22 2025, equities broadly dipped with the Nikkei 225 falling approximately 0.9 % and Hong Kong’s Hang Seng Index down 0.42 %. The deflation in risk appetite was driven in part by a sharp drop in gold which fell over 5 % to around US $4,098.89/oz, following a long-run rally. Analysts say stretched valuations and profit-taking are behind the pull-back. With geopolitical developments still unresolved and yield pressures persistent, traders remain cautious heading into upcoming central bank meetings.