Asian tech stocks slide as SK Hynix plunges over 8%
Asian tech stocks took a noticeable dip on Thursday, led by SK Hynix plunging over 8%.
Investors are uneasy about possible US interest rate hikes and whether big spending on AI can keep going.
Higher borrowing costs make it tougher for companies like Samsung Electronics and LG Innotek, which also saw shares fall, to invest in new tech.
Surprise US inflation spurs tech caution
This slump follows similar losses in the US where tech stocks slid after surprise inflation numbers sparked more talk of rate hikes.
Big Japanese names like SoftBank and Advantest also took hits.
After hotter-than-expected US inflation data fueled concerns that the Federal Reserve could raise interest rates further, investors everywhere are playing it cautiously, especially when it comes to expensive tech projects and AI.