EMERGING MARKETS — Asia stocks hit 2 — month low as South Korean chipmakers plummet
EM Asia stocks index down 3% Seoul shares on worst day since late July Samsung, SK Hynix lose 9% TSMC slips more than 2% S.Korean won weakens 0.8% By Nikita Maria Jino Oct 13 (Reuters) — Stocks in emerging Asia dropped to their lowest in two months on Tuesday, dragged down by a more than 7% fall in South Korean chipmakers on concerns over competition from Chinese rivals, durability of the AI rally and high borrowing costs. An MSCI index tracking emerging Asian equities tumbled more than 3% to an over two-month low. A broader gauge of Asia-Pacific equities outside of Japan fell nearly 3% to the lowest since late July. South Korea's benchmark KOSPI shed more than 7% to its weakest since late July, extending losses to nearly 16% over five consecutive sessions — the longest losing streak since September 2024. The losses triggered a "sidecar" trading curb, temporarily halting programme trading. The junior KOSDAQ index dropped 5.5% in its fourth straight day of losses. Memory chip bellwethers Samsung Electronics and SK Hynix each shed around 9% to hit mid-August lows. The two stocks account for over half of the KOSPI and around 16% of the MSCI EM Asia equities index. Overnight, the tech
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8% By Nikita Maria Jino Oct 13 (Reuters) — Stocks in emerging Asia dropped to their lowest in two months on Tuesday, dragged down by a more than 7% fall in South Korean chipmakers on concerns over competition from Chinese rivals, durability of the AI rally and high borrowing costs. An MSCI index tracking emerging Asian equities tumbled more than 3% to an over two-month low. A broader gauge of Asia-Pacific equities outside of Japan fell nearly 3% to the lowest since late July. South Korea's benchmark KOSPI shed more than 7% to its weakest since late July, extending losses to nearly 16% over five consecutive sessions — the longest losing streak since September 2024.
The losses triggered a "sidecar" trading curb, temporarily halting programme trading. 5% in its fourth straight day of losses. Memory chip bellwethers Samsung Electronics and SK Hynix each shed around 9% to hit mid-August lows. The two stocks account for over half of the KOSPI and around 16% of the MSCI EM Asia equities index.
N Investor sentiment was hit by rising concerns that Chinese semiconductor makers are narrowing the technology gap with global rivals, after reports suggested CXMT had made progress on a new server memory chip. "This is a collision of two concerns: growing Chinese competition threatening memory pricing power, and investors unwinding crowded AI trades," said Song Zhe, senior investment specialist, Asia ex-Japan and EM equities & Greater China equities, BNP Paribas Asset Management. 5% in their worst trading day since late July. Semiconductor major TSMC declined nearly 2%, ahead of its quarterly earnings later this week.
8%, respectively. 4%. Investors await the central bank's review on Wednesday, where it is widely expected to tighten monetary policy as robust growth and inflation risks bolster the case for another move. 8%, a day after scoring a two-year peak.
090 per dollar, the weakest since mid-August. The Indian rupee built on its recovery after Monday's 1% rally, boosted by central bank measures to temper dollar demand alongside likely intervention through dollar sales. 6% on the day. China's yuan held near its strongest in nearly four years, shrugging off a strong dollar as central bank guidance kept the currency steady.
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