Asian Chip Stocks Tumble as Kospi Slumps 7.6% on AI Valuation Fears
Updated
Updated · Bloomberg · Jul 16
Asian Chip Stocks Tumble as Kospi Slumps 7.6% on AI Valuation Fears
3 articles · Updated · Bloomberg · Jul 16
Summary
South Korea’s Kospi fell as much as 7.6%, with SK Hynix and Samsung Electronics leading a broad semiconductor selloff that pulled Asian equities lower.
Investors turned more skeptical that the AI-driven rally can justify lofty valuations, extending pressure already seen in US chip stocks.
Japan’s Nikkei 225 dropped 2.9%, while MSCI’s Asia Pacific gauge slid 1.3% and snapped a two-day winning streak.
The retreat underscored how heavily regional markets had come to rely on AI-linked chip names, especially in South Korea, a key bellwether for the trade.