South Korea's Kospi Share Index Falls 8%, Other Asian Shares Are Also Mostly Lower
- On Wednesday, South Korea's Kospi stock index dropped more than 8% as doubts over massive investments in artificial intelligence led investors to dump shares.
- Expectations for stellar earnings reports are weighing heavily on stocks of chipmakers and other companies that have been huge winners from the boom in artificial-intelligence technology.
- Chipmaker Hynix sank about 10% after its quarterly profit fell short of analyst forecasts, while shares in Samsung Electronics dropped more than 5%.
- Other Asian markets mostly declined, with the Nikkei losing 1.8% and the Taiex shedding 3.6%, though the Hang Seng countered the regional trend by gaining 1.7%.
- Global investors navigated mixed results on Wall Street, where the Dow Jones Industrial Average added 1% on Tuesday, while international benchmark Brent crude rebounded 4.2% to $87.58 a barrel.
28 Articles
28 Articles
Japan's Nikkei rises on sharp Advantest gains
Japan's Nikkei share average saw gains on Thursday, boosted by Advantest. Advantest's shares surged after it raised its annual profit forecast significantly. Other chip-related stocks also experienced upward movement following this positive outlook. However, the broader Topix index declined as banking shares faced selling pressure. This divergence reflects a recent market trend favoring AI-related stocks over value shares.
Why Is KOSPI Down Today? Chip Rout Triggers 8% Crash
South Korea’s KOSPI fell around 8% on July 28 as investors dumped semiconductor stocks, turning a global chip rout into a sharp selloff in the Korean stock market. The direct answer to why KOSPI is down today is simple. Korea’s benchmark index is heavily exposed to Samsung Electronics and SK Hynix, and both sold off hard as investors questioned whether the AI memory boom can keep supporting current valuations. Reuters reported that the KOSPI dro…
South Korea's Kospi share index falls nearly 7%, other Asian shares also mostly lower
South Korea’s Kospi share index has dropped nearly 7% on prolonged selling of chipmaking shares. The latest rout was led by shares in chipmaker SK Hynix after its profit in the last quarter fell short of analysts' forecasts even though…
Associated Press News
Oil prices jump, while the Dow drops more than 1,100 as sinking AI stocks drag Wall Street lower
Oil prices got back to jumping, while sinking technology stocks dragged Wall Street lower amid uncertainty about what the Federal Reserve will do to get high inflation under control.
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