South Korea’s benchmark Kospi index gave up gains to fall more than 6% Friday, retreating from a fresh record high, weighed down by heavyweight tech stocks amid a broader decline in Asia-Pacific markets.
The Kospi waned 488.23 points, or 6.1%, to 7,493.18.
The decline follows Kospi’s record-breaking streak, which has raised concerns over concentration risks, particularly in artificial intelligence stocks. Samsung Electronics and SK Hynix together make up a record 42.2% of the Kospi, according to Manulife Investment Management.
Shares of Samsung Electronics fell 8.6% after its labour union said it would proceed with its planned 18-day strike from May 21 involving more than 45,000 workers, even though the company has proposed resuming wage talks without preconditions.
The union said it was willing to return to negotiations after June 7. SK Hynix shares declined 7.6%.
Other Asia markets also fell as investors tracked the second day of high-stakes talks between U.S. President Donald Trump and Chinese President Xi Jinping. Trump on Friday left Beijing after the two-day summit, also attended by a delegation of American business leaders, including Tesla CEO Elon Musk and Nvidia chief Jensen Huang.
In Japan, the Nikkei 225 index dumped 1,244.76 points, or 2%, to 61,409.29.
In Hong Kong, the Hang Seng shed 426.31 points, or 1.6%, to 25,962.73.
CHINA
In Shanghai, the CSI 300 index slipped 55.01 points, or 1.1%, to 4,859.59.
Xi warned Trump on Thursday that Washington and Beijing could face “clashes and even conflicts” if the sensitive issue of Taiwan independence is mishandled.
Failure to handle the matter “properly” could place “the entire relationship in great jeopardy,” Xi was quoted as saying.
In other markets;
In Taiwan, the Taiex tumbled 579.39 points, or 1.4%, to 41,172.36
In Singapore, the Straits Times 50 index subtracted 6.86 points, or 0.1%, to 4,989.08.
In New Zealand, the NZX 50 lost 60.06 points, or 0.5%, to 12,965.01.
In Australia, the AZX 200 slid 9.87 points, or 0.1%, to 8,630.84.
