Economy
Tech stock rout, driven by US AI fears, continues in Asian trading
A tech stock rout that started in the US overnight spread across Asian markets, forcing South Korea to briefly halt trading on the Kospi as investors reacted to fears that Democratic gains in the US midterm elections could slow AI development and data centre expansion. Japan's Nikkei fell 6 percent, its steepest one-day drop since April 2025, while indices in South Korea and Taiwan plunged more than 8 percent before recovering some losses. The Nasdaq had already sunk 5.5 percent, wiping $3 trillion off S&P 500 firms, as analysts warned that the AI trade was built on fragile expectations.