Stock exchanges: concerns about the future cause Asian markets to plummet
In the race for innovation and AI, investors in Asia have been experiencing ups and downs in the markets for some time. Recently, statements from CEOs of major companies have raised concerns again.
Seoul, Tokyo, and Shanghai witnessed significant drops in AI and IT stocks due to unexpectedly high US inflation. Market experts express concerns about potential corrections in AI company valuations, citing risk from rising US interest rates. South Korea is at the center of global AI sell-offs, with financing issues at CoreWeave exacerbating fears of increasing credit costs and AI expenditure sustainability.
CoreWeave's stock plummeted in New York as investors grew concerned about the company's debt burden. Broadcom's CEO Hock Tan recently warned about financing problems in expanding artificial intelligence capabilities. The South Korean Kospi index took a particularly hard hit, falling 8.6 percent on Thursday, led by losses in major tech players Samsung and SK Hynix.
The index now sits more than a third below its all-time high in June. Japan's Nikkei 225 index slipped 4.9 percent to 64,425 points, with tech companies among the biggest daily losers. Taiwan's Hang-Seng index also dropped 1.4 percent, while China's CSI-300 index fell over 2 percent.
Written by urgent.news from Handelsblatt's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
- Stock markets: Future concerns let AI stocks slump in Asia handelsblatt.com
