AI sell-off deepens as chip stocks slump in market retreat - business live

The AI stock sell-off has intensified, causing Samsung and SK Hynix to drop over 10% and pushing South Korea’s market to a three-month low. Investors are concerned about high borrowing for data centre expansions and China's progress in mass producing homegrown DUV chipmaking tools. While Morningstar analyst Jing Jie Yu suggests the market reaction is a knee-jerk response to threats against global leaders, the S&P 500 and Nasdaq remained relatively stable following the initial volatility.