Asian stock markets opened higher on August 7th, but quickly reversed course. South Korea's KOSPI index gave up its early gains and turned negative, currently down 0.05% to trade at 6292.93 points.

Fitch Ratings released a report on August 5th highlighting the resilience of the South Korean economy's fundamentals. The firm noted that prudent measures within the financial regulatory system provide a buffer that helps maintain broader financial market stability. Fitch believes the overall short-term credit risk from this recent volatility for the Korean financial system is limited, but identifies the real estate market, securities firms, and household credit conditions as key transmission channels requiring close monitoring.

Meanwhile, the Japanese market also experienced a sharp decline. The Nikkei 225 index fell 0.75% to 65,192.61 points. Among individual stocks, SoftBank Group Corp saw its share price drop more than 4%.

On August 6th, SoftBank Group Corp, led by Japan's richest man Masayoshi Son, reported its latest quarterly earnings for the period ending June 30th. Quarterly revenue increased 10.9% year-on-year to 2.02 trillion yen, exceeding market expectations of 1.97 trillion yen. Although net profit attributable to shareholders fell 17.7% year-on-year to 347.33 billion yen, this result significantly surpassed the market consensus forecast of 165.8 billion yen, delivering a better-than-expected performance.

However, SoftBank's Vision Fund posted a profit of just 5.43 billion yen for the latest fiscal quarter, a staggering 99% drop compared to the same period last year. The sharp decline was primarily attributed to falling valuations of the startups in which the fund has invested.