US TECH SELLOFF DRAGS DOWN ASIAN CHIP STOCKS

The selloff rippled through Asia's chip sector as traders reassessed valuations following weakness in US tech equities. Both major chip-producing nations saw their semiconductor stocks pressured by the broader market movement. Meta Platforms' announcement to sell access to AI computing power heightened worries about supply dynamics in the semiconductor industry. The move signals potential excess capacity in the market, prompting investors to recalibrate exposure to chipmakers. The decline underscores the interconnected nature of global tech markets, where US investor sentiment quickly flows to Asian producers that supply components to American tech companies. Semiconductor stocks in Japan and South Korea remain sensitive to shifts in US technology sector demand. The selloff reflects growing uncertainty about AI infrastructure investment pace and whether current capacity additions will outpace actual demand from major technology firms.