Chip selloff turns Asian markets red; South Korea's KOSPI falls 6.3% Thursday

Asian equity markets turned red on Thursday, July 16, 2026, under a wave of selling in semiconductor shares, and even record quarterly earnings from Taiwan's TSMC could not halt the slide. South Korea's KOSPI plunged 6.3 percent, with Samsung Electronics down about 8 percent and SK Hynix down nearly 11 percent. The drop came just two days after the KOSPI's powerful rebound.

Japan's Nikkei 225 fell around 3 percent, while Hong Kong's Hang Seng Index rose, bucking the broader trend. Analysts said the selling reflected extremely high investor expectations for AI-driven growth rather than weak corporate performance.