SK Hynix Shares Drop Over 10% Amid Semiconductor Sector Sell-Off
South Korean semiconductor shares fell sharply on Tuesday, continuing a broader selloff that began with weak performance by U.S. chipmakers the previous day. SK Hynix dropped more than 10%, while Samsung Electronics lost over 8%. Other AI-related stocks in South Korea also declined significantly, including Samsung SDI and LG Innotek. The sell-off extended to Japan's semiconductor sector as well, with Tokyo Electron falling over 9% and Kioxia dropping nearly 15%. The decline followed a weak session for U.S. semiconductors, where the VanEck Semiconductor ETF (SMH) lost more than 2%, led by declines in AMD and Teradyne. The weakness highlights growing concerns about demand from AI hyperscalers like Amazon or Microsoft, which are major customers of companies such as Samsung Electronics and SK Hynix. These firms supply high-bandwidth memory chips used in AI servers.
Topics: AI stocks Asia markets Samsung Electronics semiconductors SK Hynix