Asian semiconductor stocks tumbled on Thursday as a sell-off in U.S. chipmakers spilled into the region. Shares of SK Hynix tumbled over 9% in Seoul, reversing the previous session's 8% rally:
SK Hynix has continued to see massive volatility since its U.S. listing last week. Domestic rival Samsung Electronics dropped more than 7%. Seoul Semiconductor fell more than 5%, LG Innotek lost about 1%, and Samsung SDI was down over 2%:
The weakness spread across the region. In Japan, AI-linked equipment makers Advantest fell more than 6%, SoftBank Group slid nearly 7%, Tokyo Electron lost over 5%, while Renesas Electronics declined 4%:
The losses follow a sell-off in U.S. semiconductor shares overnight. Micron Technology sank 8%, Intel lost more than 4%, while Lam Research and Advanced Micro Devices each fell about 3%:
Louis Kondratev, trader at XFUNDs, said the recent pullback reflects how crowded semiconductor trades have become after a prolonged AI-driven rally:
“Semiconductors alone now make up roughly 20% of the S&P 500, which is incredibly difficult to sustain,” he said:
