Japanese, Korean Stocks Tumble as Chip Selloff Intensifies

Japanese and South Korean stocks declined significantly, led by a sharp drop in semiconductor shares. Investor sentiment was negatively impacted by concerns regarding Nvidia Corp.’s AI supply deal and increasing competition from Chinese chipmakers. South Korean stocks experienced a slump of over 9% as fears surrounding AI spending hammered chip stocks. This widespread selloff reflects growing instability in the semiconductor sector across these key Asian markets, weighing heavily on overall regional stock performance.