Overview
- Global stocks slid Friday as heavy selling in AI‑exposed semiconductor names drove the PHLX/SOX and regional chip indexes sharply lower and put many memory and chip makers into bear‑market territory.
- The rout accelerated after Taiwan Semiconductor raised its 2026 capital‑spending outlook to about $60–64 billion and pledged roughly $100 billion for U.S. facilities, a move that spooked investors worried about near‑term profit conversion from big AI investments.
- New competitive pressure from China appeared when startup Moonshot unveiled the large open model Kimi K3, and reports of delayed flagship AI releases at some U.S. firms heightened doubts about the speed of AI returns.
- Renewed U.S.‑Iran strikes pushed oil prices higher, increasing inflation and interest‑rate concerns that compounded tech selling, while healthcare earnings helped limit losses in broader indexes like the Dow.
- South Korea has seen acute volatility because of index concentration and leveraged retail positions, prompting authorities to target leveraged ETFs as regulators try to calm local market stress.