Seoul:Seoul shares experienced a significant drop on Monday following a technology-focused sell-off on Wall Street. This decline arises amidst growing concerns over whether substantial investments in artificial intelligence infrastructure can yield adequate returns.
According to Yonhap News Agency, the Korea Composite Stock Price Index (KOSPI) opened down by 179.64 points, or 3.17 percent, at 5,488.41. This follows a rise of 2.05 percent on Friday, where the KOSPI closed at 5,668.05, breaking a seven-session losing streak that had seen a 6.3 percent decline.
On the previous Friday, the Dow Jones Industrial Average decreased by 0.34 percent, while the Nasdaq Composite, which is tech-heavy, dropped by 2.14 percent. Investors remain cautious as they await earnings reports from major companies like Tesla and Meta Platforms, due this week, along with the upcoming U.S. midterm elections on November 3. Continued uncertainty regarding interest rate projections also contributes to market apprehensions.