Asian Tech Stocks Slump Despite Wall Street AI Record

Global markets diverged between July 6 and July 8, 2026, as a surge in U.S. technology stocks contrasted with a sharp selloff in Asian semiconductors. Wall Street saw the Dow Jones Industrial Average reach a record high and the Nasdaq climb 1.1%, bolstered by Broadcom's long-term silicon agreement with Apple and a $19 billion data center deal between TeraWulf and Anthropic.

In contrast, Asian equities faced volatility as investors questioned if AI investments would yield sustainable profits. South Korea's Kospi Index suffered the steepest losses, dropping over 6% on Tuesday, July 7, as Samsung Electronics shares plunged nearly 7% despite a 19-fold jump in forecast operating profit. SK Hynix also saw significant declines ahead of a roughly $29 billion U.S. stock offering. Japan's Nikkei 225 declined modestly on Monday before falling further on Tuesday, though the broader Topix index touched a fresh record high as capital rotated into value shares like Toyota and banking stocks.

Currency and commodity markets remained unstable. The U.S. dollar strengthened against the yen, reaching a three-month high of 162.07, prompting Goldman Sachs to revise its yen forecast to 165 per dollar. Oil prices fluctuated around $72 per barrel; Brent crude initially fell following OPEC+ production increases but rose over 1% after a projectile struck a vessel in the Strait of Hormuz, threatening U.S.-Iran peace talks.