Institution: Tech Stock Plunge Not an AI Logic Reassessment, Key is to Watch Giant Capex Slowdown

BlockBeats News, June 8th. The Asian market on Monday continued last week's brutal sell-off, with the South Korean KOSPI index plummeting over 8%, led by the semiconductor sector.

Mark Vale, Investment Director at Lucerne Asset Management, stated, "This wave of movement appears to be more of a unwind of positions and momentum strategies, rather than a reassessment of the long-term artificial intelligence story. South Korean tech stocks have long been among the best-performing stocks globally. With a highly concentrated market positioning, these stocks naturally became a source of liquidity when interest rate expectations shifted after last week's non-farm payroll report. The key question now is whether the AI spending of mega-cap companies will slow down. At this stage, we have not seen evidence of this."