Asian tech stocks plunge on US AI regulation fears

thehindu.com [$] —

Asian tech stocks plunged Friday following a Wall Street collapse driven by fears that Democrats will increase AI industry regulation after their decisive US midterm election victory. Seoul and Tokyo led the sell-off, with chipmakers like SK hynix and Samsung dropping sharply. Investors are concerned about potential opposition to AI data center projects, compounded by worries over heavy sector spending, rising borrowing costs, and high valuations. The Nasdaq fell 5.5 percent, its worst day since April last year, while the Philadelphia Semiconductor Index dropped about 16 percent this week. President Trump blamed Democrats for the market decline, and oil prices rose amid ongoing Middle East tensions.


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