SK Hynix, SoftBank shares plunge as tech stocks in Asia track Wall Street chip sell-off

Asian technology stocks fell Tuesday as a sell-off in U.S. semiconductor shares spilled into regional markets, with worries over artificial intelligence financing and intensifying competition denting sentiment. Shares of South Korean chip giant SK Hynix, a leading supplier of high-bandwidth memory chips used in artificial intelligence applications, plunged more than 8%, while rival Samsung Electronics shed 6.7% — both hit their lowest levels since August. In Japan, shares of tech-focused investment giant SoftBank Group sank 8.8%. The group, which has significant exposure to the global AI industry, led a broader retreat in Japanese semiconductor and electronics shares. Tokyo Electron, a major supplier of chipmaking equipment, dropped 6.75%, while Advantest, which makes semiconductor testing equipment, declined 5.65%. Other Japanese technology stocks also came under pressure. Lasertec fell 4.94%, Disco lost 4.69% and Renesas Electronics shed 5.64%. The declines followed a weak session for technology stocks on Wall Street, where the Nasdaq Composite dropped 0.44% on Monday. U.S. memory chipmaker Micron Technology slid 3.9% as investors assessed intensifying competition from China's ChangXin Memory Technologies, or CXMT, which reported progress on a new chip structure. The chief executives of Intel and Broadcom have warned that access to capital could emerge as a major headwind to the artificial intelligence boom, even as demand for computing infrastructure continues to outstrip supply. Investors are also looking ahead to a busy week of corporate earnings and U.S. inflation data, which could provide fresh clues on the outlook for interest rates.