Tech rout hits South Korea, Taiwan; Jakarta faces worst month in 18 years
SPY•South Korean and Taiwanese stocks fell as technology earnings accelerated a pullback in AI-linked shares, while Indonesia’s Jakarta index was on track for a nearly 18% monthly loss, its worst since October 2008.
1. Asian stocks fall
South Korea’s KOSPI fell 4.5% and Taiwan’s benchmark dropped 2.5%, while Samsung Electronics slid 5.2% and SK Hynix fell 7.4%. Samsung reported a 15-fold jump in quarterly chip profit but offered no fresh shareholder-return measures and gave an outlook that disappointed investors.
2. Jakarta nears steep loss
Indonesia’s benchmark fell more than 2% and was on course for a monthly loss of nearly 18%, its worst since October 2008. The decline followed an MSCI warning that the country could be removed from a group of indexes tracked by investors; officials responded with support measures after the market’s worst two-day selloff on record. Indonesian 10-year bond yields stood at 7.643%, near Thursday’s six-year high of 7.707%.
3. Currencies and rates
The South Korean won rose to 1,336.23 per dollar and was headed for a fourth consecutive monthly gain. The Bank of Japan held rates steady and signalled it could raise borrowing costs as soon as December.
