Global markets have seen sharp declines as concerns over rising inflation and possible interest rate hikes trigger a sell-off in heavily indebted sectors, particularly those tied to artificial intelligence. South Korea’s key stock index, dominated by memory chip manufacturers, plunged over 8% in a single session, hitting a six-month low and halting trading multiple times. Tech investors and chip producers, including major firms, have faced steep losses amid growing unease over economic stability. The downturn reflects broader market jitters about debt levels and economic pressures ahead.
Chip makers and tech investors such as Samsung and SoftBank plunge as potential interest rate hikes spook marketsBusiness news – live updatesLarry Elliott: the global economy is muddling through. But a storm is comingAn accelerating sell-off of AI-linked shares has hit global markets, as fears over rising inflation and future interest rate hikes spooked traders already wary of the heavily indebted sector.South Korea’s benchmark Kospi 200 index, which is heavily skewed towards the companies that make memory chips, fell more than 8% overnight to a six-month closing low, triggering circuit breakers that brought trading to a halt at various points. Continue reading...
