Chinese stocks set for 12th straight weekly loss on AI-led selloff
AI-related shares led declines onshore, tracking overnight losses in New York and falls among their Asian peers.
On Friday, China's blue-chip shares slipped, marking the start of a 12th consecutive weekly decline. The CSI300 Index, a key benchmark, plummeted to a one-year low, falling 0.4% and trailing a 7.6% monthly drop. The Shanghai Composite Index also fell 0.3%. In contrast, Hong Kong's Hang Seng Index rose 1.6%. The tech-focused STAR50 Index suffered a 1.8% decline.
AI-related stocks were the main driver of the losses, with Alphabet, Amazon, and Intel all experiencing declines tied to their AI expenses. SK Hynix, a major memory chip producer, saw a drop of over 7%. A gauge tracking the 5G communications industry plunged as much as 6% in early trade. Eoptolink Tech, an optical module producer, saw its shares tumble nearly 8%, marking a 46% loss for the month.
Despite these broad market declines, consumer staples rose 1%. Hong Kong tech stocks rebounded, up 1.4%, but remained near their lowest levels in two years. Analysts warn that some stocks are treating AI spending as a permanent earnings burden, assigning limited value to future cash flows or AI monetization success.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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- Chinese stocks set for 12th straight weekly loss on AI-led selloff freemalaysiatoday.com
