Asian equity markets slipped after heavy selling in semiconductor giants SK Hynix and Samsung Electronics dragged regional indices lower amid AI valuation concerns.

Asian markets retreated as investors weighed AI valuation concerns and awaited Federal Reserve guidance, with South Korea's Kospi index dropping 1.4 per cent.

Samsung Electronics has announced a record shareholder return programme of up to 110 trillion won, capitalizing on booming demand for artificial intelligence semiconductors.

Samsung Electronics and SK Hynix shares fell as investors questioned the sustainability of AI-related infrastructure spending and memory chip demand.

Samsung shares slumped following record quarterly earnings, sparking a wider sell-off across global AI-related semiconductor and memory chip stocks.

Global markets experienced a downturn on July 7, 2026, as sharp declines in AI-linked stocks and geopolitical tensions in the Middle East pressured indices. Major U.S. and international exchanges retreated amid investor concerns over tech valuations and rising 10-year Treasury yields.

Samsung Electronics announced record-breaking quarterly profits driven by demand for memory chips, but shares dropped as analysts pointed to investor skepticism.