Retail investors remain invested in AI stocks but are increasingly using put options and inverse ETFs to hedge against downside risks as markets approach the fall season.
The KOSPI index dropped 5.8 percent to 6,471.17 in Seoul, triggered by a sell-side sidecar suspension. The decline was led by heavy losses in Samsung Electronics and SK hynix, influenced by rising global oil prices and U.S. Treasury yields.
Amid market volatility and geopolitical tensions, Wall Street analysts highlight three dividend-paying energy stocks: Phillips 66, Crescent Energy, and Viper Energy, supported by strong Q2 earnings and positive analyst ratings.
China's new portfolio managers, including Yuan Zeqiang at Caitong Fund Management, suffer significant losses (up to 36%) in debut portfolios due to heavy tech stock exposure amid market volatility.
India has increased its number of oil suppliers from 27 to 41 and LNG exporters from 6 to 15 to reduce supply chain risks and market volatility, with Russia remaining its top crude provider.
South Korea's stock market volatility index dropped 18.91 percent after financial authorities raised minimum cash deposits to curb speculative single-stock leveraged ETFs linked to major firms like Samsung Electronics and SK hynix.
Asian technology stocks fell Thursday, tracking U.S. peers in overnight trading and highlighting global tech sector volatility. Major firms like SoftBank, SK Hynix, and Samsung saw significant declines despite analysts maintaining an optimistic outlook on AI investments.
Japan and the US conducted a joint currency intervention to strengthen the yen after it fell to a four-decade low, impacting the American government-debt market. Japanese Finance Minister Satsuki Katayama and US Treasury Secretary Scott Bessent confirmed the operation, indicating readiness for further action.
China's CXMT IPO and reported development of deep-ultraviolet lithography tools caused global AI-linked stock drops, particularly for chipmakers like Nvidia, SK Hynix, and Samsung. While CXMT's DRAM chips are complementary to GPUs, China's DUV tools pose a long-term challenge to ASML and potentially Nvidia, leading to significant market jitters.
Goldman Sachs' equities trading business drove significant growth in Q2, with a 72% revenue surge to $7.42 billion, outperforming expectations amid market volatility. Strategic investments and a shift in the Global Banking & Markets group contributed to the success.
South Korea's Financial Services Commission (FSC) Chairman Lee Eog-weon apologized for failing to meet public expectations amid extreme market volatility, exacerbated by single-stock leveraged ETFs. The FSC announced measures to stabilize the market, including a hike in minimum cash deposits for ETF investments and potential caps on ETF investments within individual portfolios.
Southwest Airlines chartered a ship to transport 12.6 million gallons of jet fuel from Texas to California in May, utilizing a Jones Act waiver, due to high prices and supply concerns. The move highlights the volatility in fuel markets, exacerbated by geopolitical tensions and impacting airline expenses.
Bitcoin dropped below $65,000 to three-day lows as escalating US-Iran tensions caused US stocks to slide and oil prices to rally. Traders offered diverging short-term outlooks for BTC, while rising inflation expectations and a higher probability of a Federal Reserve interest rate hike added to market strain.
Two Chinese AI companies, Moonshot AI and Alibaba, unveiled new models claiming to compete with top US systems like OpenAI's GPT-5.6 Sol and Anthropic's Claude Fable 5. These open-weight, aggressively priced models have surprised markets, raising concerns about US tech dominance, investment in AI infrastructure, and national security implications, despite years of warnings about China's AI advancements.
Sales of equity-linked securities (ELS) and equity-linked bonds (ELB) in South Korea fell 41.7% in the first half of the year compared to the previous six months, totaling 27.7 trillion won. This decline is attributed to significant stock market volatility and Mideast tensions.
The Indian Rupee depreciated 39 paise against the US dollar, opening at 95.72 and falling to 95.77 due to soaring crude oil prices and escalating Middle East tensions. Concerns over global crude supply disruptions, fueled by Iran's actions in the Strait of Hormuz, dampened market sentiment.
South Korea's financial watchdog chief, Lee Chan-jin, urged asset managers to better protect consumers due to increased market volatility and the rapid growth of the ETF market. Concerns were specifically raised about single-stock leveraged ETFs.
Despite market volatility driven by geopolitical tensions and concerns over AI demand sustainability, top Wall Street analysts are recommending Amazon (AMZN), Marvell Technology (MRVL), and Advanced Micro Devices (AMD). Analysts cite strengths in cloud, AI infrastructure, and semiconductor demand for their optimistic outlooks.
Despite recent volatility in chip stocks and some companies renting out excess AI capacity, AI executives assert that demand for chips and compute power remains exceptionally high, with "almost unlimited" potential and energy availability as the only real limiter.
بدء تداول أسهم «إس كيه هاينكس» في الولايات المتحدة بقيمة 26.5 مليار دولار يمثل اختباراً لثقة المستثمرين في استدامة موجة الذكاء الاصطناعي، وسط ضغوط على أسهم أشباه الموصلات وتراجعها عن أعلى مستوياتها.
Kazakhstan Temir Zholy's former CEO announced plans for a triple listing in Hong Kong, London, and Kazakhstan by year-end. Hong Kong's exchange anticipates more international issuers in late 2026/2027, with companies seeking favorable market sentiment.
Anduril CEO Brian Schimpf stated the defense tech company is not in a hurry to go public due to current market conditions and high valuations. He believes a successful IPO requires investor returns, and a hype cycle is a bad time to launch. Despite increased demand for defense tech, the IPO market remains tepid.
The People Power Party has identified single-stock leverage ETFs as the primary cause of recent stock market volatility, criticizing the government's policy failures and calling for a thorough investigation into the introduction process of these products.
South Korea's Finance Minister Koo Yun-cheol pledged efforts to stabilize livelihoods due to market volatility and Middle East war impacts. He highlighted the need to address economic disparity and foster new growth engines beyond semiconductors and AI.
