Asian chipmakers slide as investors rotate to autos

Asian chipmakers fell sharply Thursday as a Democratic congressional sweep fueled a stock rotation, with Samsung Electronics and SK Hynix dropping over 5% each and dragging South Korea's Kospi down more than 3%. Automakers like Toyota and Honda rose about 5%, lifting Japan's Topix by 1.4%. The rotation reflects concerns over potential delays in data center construction due to AI fears raised in midterm elections, pushing investors toward undervalued sectors. Other chip stocks including Advantest and MediaTek also slumped, while consumer names like Hyundai, Wesfarmers, Tencent, and Alibaba gained. Travel stocks climbed on falling oil prices amid hopes for an end to the Iran war. A Bloomberg index of Asian chipmakers is down over 20% in the past month, with analysts noting long-term investors are shifting from growth to value stocks.