Asia $137.36B foreign outflow, fastest in at least 16 years
Asian stocks just saw their fastest foreign cash-out in at least 16 years. Investors took out $137.36 billion in the first half of 2026, according to LSEG.
Most of this came from South Korea and Taiwan, where booming AI chipmaker stocks like TSMC, Samsung, and SK Hynix pushed valuations up and triggered a wave of selling.
June Asia outflows $27.08B, funds rebalance
In June alone, investors pulled $27.08 billion more from the region.
South Korea and Taiwan led again, with big mutual fund sales and pension funds rebalancing their portfolios, so it's less about ditching these markets entirely and more about adjusting risk.
Investors diversify cautiously amid AI rally
With AI stock prices soaring, some investors are shifting toward Southeast Asia's cheaper markets or exploring new themes like defense and renewables.
Analysts say these moves reflect caution as people aren't sure how much higher the rally can go, so they're spreading out their bets to avoid putting all their eggs in one basket.