Goldman Sachs cuts its 12-month target for South Korea's Kospi index by 25% amid mounting concerns over AI trades.

As market concerns over AI trades intensify, Goldman Sachs strategists cut their target for South Korea's Kospi index by 25%. This is the bank's first significant downgrade this year after multiple upward revisions. Analysts including Timothy Moe lowered the index's 12-month target to 9,000 from 12,000, citing the need for more conservative valuation assumptions after the benchmark fell more than 35% from its June high. The strategists believe the selloff has left Korean equities severely undervalued, and the revised target still implies more than 60% upside from current levels.