South Korea’s benchmark Kospi index triggered a second trading halt this week after plunging 9% on Wednesday, driven by a renewed sell-off in technology stocks.
The sharp decline underscores the extreme sensitivity of Asian equity markets to swings in global artificial-intelligence sentiment, with chipmakers leading the rout.
The market turmoil follows a near 10% crash on Tuesday, which also resulted in a 20-minute suspension as selling engulfed the technology sector.
The market turmoil follows a near 10% crash on Tuesday, which also resulted in a 20-minute suspension as selling engulfed the technology sector.
The consecutive days of severe volatility highlight the fragility of the current market regime, where investor confidence in high-growth tech valuations appears to be unraveling rapidly.
Reports indicate that broader concerns, including price hikes from major consumer electronics firms like Apple, are compounding the pressure on the semiconductor supply chain.
As the Kospi extends its losses from recent record highs, traders are grappling with the implications of a potential broader correction in the global chip sector.