SK Hynix Sinks 9% as U.S. Chip Rout and AI Spending Fears Hit Asia
Updated
Updated · CNBC · Jul 16
SK Hynix Sinks 9% as U.S. Chip Rout and AI Spending Fears Hit Asia
3 articles · Updated · CNBC · Jul 16
Summary
SK Hynix fell more than 9% in Seoul on Thursday, erasing the prior session’s 8% rebound and extending sharp swings since its U.S. listing last week.
U.S. chip losses set the tone overnight—Micron dropped 8%, Intel more than 4%, and AMD and Lam Research about 3%—while investors also weighed AI spending risks and New York’s temporary pause on new large data-center projects.
Samsung Electronics slid more than 7%, while Japan’s AI-linked names also sold off, with Advantest down over 6%, SoftBank nearly 7% and Tokyo Electron more than 5%.
The pullback came despite ASML lifting full-year sales guidance to 43 billion-45 billion euros, underscoring how crowded semiconductor trades have become after a prolonged AI-driven rally.
Semiconductors now make up roughly 20% of the S&P 500, according to XFUNDs, far above their historical 2%-5% range, fueling concern that earnings momentum may no longer justify lofty valuations.