MSCI Asia Pacific index falls 3.5% amid semiconductor selloff
Business
Asian markets took a hit on Tuesday, with the MSCI Asia Pacific Index dropping 3.5%, now more than 10% below its June peak, officially entering correction territory.
The main reason? A big selloff in semiconductor stocks like Samsung and SK Hynix, which sent South Korea's Kospi index tumbling over 10% intraday.
Investors question AI chip boom
Investors are getting nervous about whether the AI-fueled boom in chip stocks can last, especially as giants like NVIDIA chase massive new deals.
As Vey-Sern Ling, managing director at Union Bancaire Privee, put it, "Greed has turned into fear for AI-related semiconductor stocks."
On top of that, everyone's watching for major central bank decisions and tech earnings this week, so market anxiety is running high.