South Korean stocks fell by 4%, Samsung Electronics and SK Hynix dropped more than 4%.

The uncertainty of interest rate outlook and market concerns about the sustainability of spending on artificial intelligence have led to a temporary halt in the market rally led by the technology sector, causing a sharp drop in the South Korean stock market. The South Korean composite stock price index fell by 4%, marking the largest single-day decline since November 21. As the leading chip giants that have been driving the South Korean stock market to achieve the highest global gains since the beginning of last year, Samsung Electronics and SK Hynix both fell by more than 4%. Multiple factors have led investors to reduce their holdings in previously high-flying stocks, including market worries about Kevin Warsh being nominated as the next chairman of the Federal Reserve, and the drastic fluctuations in metal prices. NVIDIA CEO Huang Renxun stated that the plan to invest $100 billion in open AI companies has "never made a formal commitment," which further dampened market sentiment and raised new doubts about the scale of future capital investments in the field of artificial intelligence.