SK hynix Extends Asia Chip Selloff as Rate Fears Rise
The chipmaker fell more than 10% as investors weighed higher borrowing costs and the financing needs of AI infrastructure.
Key takeaways
- SK hynix traded down 10.71% as of 1:53 a.m. UTC Thursday.
- Investors worried that higher borrowing costs could weigh on AI infrastructure investment.
SK hynix shares fell sharply Thursday as a technology selloff spread across Asia. As of 1:53 a.m. UTC, the shares traded at 1,267,000 won, down 10.71% since the previous close.
Samsung Electronics fell 7.1%, while South Korea’s Kospi dropped as much as 6.5%, according to Bloomberg. Investors were concerned that higher borrowing costs could raise the cost of financing AI infrastructure.
Tech analyst Dan Ives said financing concerns were weighing on AI-related stocks, but that demand for AI computing power remained strong.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.