Seoul: South Korean stocks continued to trade weaker late Monday morning with investors continuing to offload tech shares amid uncertainties in the artificial intelligence (AI) sector. The benchmark Korea Composite Stock Price Index (KOSPI) fell 22.48 points, or 0.71 percent, to 3,163.53 as of 11:20 a.m.
According to Yonhap News Agency, investors dumped tech shares following reports that China's Alibaba has developed a new AI chip in China. The news raised concerns the move could trigger another global market shock in the technology sector, similar to the one sparked by Chinese AI startup DeepSeek in early 2025.
In Seoul, top tech giant Samsung Electronics moved down 2.08 percent, and SK hynix slid 3.81 percent. Carmakers, on the other hand, gathered ground, with Hyundai Motor rising 0.91 percent and its sister Kia adding 1.51 percent.
The local currency was trading at 1,392.6 won against the U.S. dollar at 11:20 a.m., down 2.5 won from the previous session.