Asian tech stocks tumble as SK Hynix drops 10% in AI sell-off
What's next: Microsoft and Meta earnings, plus the Fed decision, are set to test whether AI spending can still support chip valuations.
Asian technology shares extended their slide Wednesday as investors pulled back from AI-linked trades ahead of major US tech earnings and a Federal Reserve decision. In South Korea, SK Hynix fell more than 10% after reporting record quarterly profit and revenue that still missed lofty expectations, while Samsung Electronics lost more than 4%. Japan's SoftBank Group dropped more than 7%, Tokyo Electron fell 8.5% and Kioxia lost 10%. Taiwan's TSMC also slipped. The Kospi fell 5%, MSCI's Asia-Pacific index outside Japan lost 1%, and Japan's Nikkei fell 1%. Markets were also rattled by higher oil prices after renewed Middle East attacks, adding to concerns about inflation and liquidity.