South Korean Stocks Tumble 6% as AI Jitters Hurt Chipmake…

On July 1, 2026, South Korean stocks saw a significant decline, with the Kospi Index dropping as much as 7%. The selloff was triggered by concerns surrounding Meta Platforms Inc.'s plans to sell computing power, which raised doubts about overcapacity in the AI sector. Major firms such as Samsung Electronics and SK Hynix experienced losses of at least 8%. Due to the market's volatility, the Korea Exchange temporarily halted program selling after the steep drop in Kospi futures. US companies like Micron Technology and Sandisk also saw declines of over 10%.

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By Sangmi Cha

July 1, 2026 at 8:23 PM EDT

Updated on July 1, 2026 at 9:09 PM EDT

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South Korean stocks slumped as Meta Platforms Inc.’s plan to sell computing power raised questions over excess in AI capacity, driving a selloff in chipmakers.

The Kospi Index fell as much as 7%, with Samsung Electronics Co. and SK Hynix Inc. losing at least 8% each. Korea Exchange temporarily suspended program selling following an outsized drop in Kospi futures. US peers Micron Technology Inc. and Sandisk Corp. both closed downBloomberg Terminal more than 10%.

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South Korean Stocks Tumble 6% as AI Jitters Hurt Chipmakers