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KOSPI plunges on US AI regulation fears
South Korea's benchmark KOSPI plunged more than 6 percent on Friday, Nov. 6, barely holding above the 5,000 mark, as fears of tighter U.S. regulation of AI data centers sparked panic selling in chip stocks, the Korea Times reports. Yonhap says the index briefly dipped below 5,000, and Business Korea reports Asian markets were gripped by fears of a slowdown in U.S. AI investment. The selloff followed a historic plunge on Nov. 5, when Seoul shares fell over 5 percent on AI regulation concerns after the U.S. midterms, according to Yonhap. Chosun Ilbo reports that a 'blue tsunami' of Democratic wins fueled expectations of stronger AI data center regulation, triggering a selloff in AI tech stocks that shocked global markets, with Korean retail investors who had bought into 'AI rosy outlooks' voicing complaints.
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