Asia’s AI Darling Just Blew a Fuse
Shaking
KOSPI, a bellwether for the AI story (and home to some of the wildest retail flows), is finally wobbling. Instead of the usual melt-up, downside volatility is kicking in, with the index closing below the 21-day for the first time since the September melt up started. The 50-day and the longer trend line sit far lower, and today’s candle is flat-out ugly.
Source: LSEG Workspace
Wanna see AI volatility?
You know things are extreme when the latest VIX spike is tiny in comparison... Chart shows KOSPI "VIX" vs. VIX.
Source: LSEG Workspace
King of volatility
KOSPI volatility is huge. The index is still not far from ATHS, and volatilities are not far from Liberation Day panic levels.
Source: LSEG Workspace
The AI play
The poster child of the Asian AI narrative and heavy retail speculation, SK Hynix, continues to wobble, showing increased volatility. The stock is basically trading right at the 21 day. A close slightly lower and things could roll over in a more nasty fashion.
Source: LSEG Workspace
Asian AI
Few of the more popular Asian AI names all falling lately.
Source: LSEG Workspace
What's wrong Son?
AI softening... Softbank continues imploding, closing well below the 50 day. Second chart shows the stock is moving in perfect tandem with the AIQ.
Source: LSEG Workspace
