Nikkei 225 plunges on AI and rate concerns

· Politics · Japan · South Korea

The Nikkei 225 fell 5% on rate and AI concerns, posting its third-largest point drop, NHK reported. The tech-stock rout started in the United States after a higher-than-expected inflation reading. South Korea's Kospi plunged 7.57% on Thursday, falling below the 5,600-point mark. The selloff reflects growing investor skepticism about AI spending and persistent inflation.

Why it matters：The sharp declines in Asian markets show how US inflation and AI debt worries are transmitting globally and threatening a tech-led rally.

Key points

  • The Nikkei 225 fell 5%, its third-largest point drop
  • South Korea's Kospi plunged 7.57%, below 5,600
  • The rout began in the US after a hotter-than-expected inflation reading

Sources (original reporting)

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