- Asian markets fell sharply led by South Korea amid global tech stock selloff
- South Korea's Kospi dropped 6.67%, Japan's Nikkei fell 2.23%, Australia’s ASX 200 down 0.51%
- US tech stocks including Nvidia and Broadcom declined, pressuring regional markets
Asian markets traded lower on Thursday, led by sharp losses in South Korea, as a renewed selloff in global technology shares dampened investor sentiment. Japan's Nikkei 225 also declined, extending losses after weakness in U.S. semiconductor stocks spilled over into regional markets.
South Korea's Kospi dropped 6.67%, while Japan's Nikkei 225 fell 2.23%. Australia's ASX 200 slipped 0.51%.
The declines followed another weak session on Wall Street, where investors continued to trim exposure to technology stocks. The Dow Jones Industrial Average surrendered an intraday gain of more than 423 points to finish little changed, while the S&P 500 fell 0.2% and the Nasdaq Composite lost 0.7% as semiconductor shares remained under pressure.
Selling accelerated in South Korea's technology sector. Samsung Electronics fell more than 7% at the open, while SK Hynix dropped over 9%. SK Square, the largest shareholder of SK Hynix, also declined by more than 10%, reflecting broader weakness across chipmakers after another difficult session for the Nasdaq.
The latest retreat came after Micron Technology and Sandisk each lost more than 10% overnight despite Micron's strong gains earlier this year. Other major semiconductor companies, including Nvidia and Broadcom, also finished lower.
Meanwhile, U.S. stock futures pointed to another cautious start. Futures linked to the Dow Jones Industrial Average fell 53 points, while S&P 500 and Nasdaq-100 futures each edged down about 0.1%.
Oil prices also extended their decline as traders assessed improving crude flows through the Strait of Hormuz and signs of progress in indirect negotiations between the United States and Iran.
Brent crude for September traded near $71 a barrel after losing more than 3% over the previous two sessions, while West Texas Intermediate hovered around $68. Oil shipments through the Strait of Hormuz have climbed to more than 10 million barrels a day, according to a U.S. official, suggesting supply disruptions are easing despite recent tensions. President Donald Trump also pointed to progress in negotiations with Iran.
Qatar said the next round of talks would be scheduled as soon as possible after funeral ceremonies for Iran's former Supreme Leader Ali Khamenei conclude. The ceremonies are expected to begin on July 4 and continue for several days.
Crude has remained under pressure after recording its steepest quarterly decline since 2020. Increased exports from the United Arab Emirates and weaker demand for U.S. crude have further eased supply concerns, even as geopolitical risks in the region continue to be monitored.
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