Global Chip Selloff: Doubts Over the AI Billions

Symbolic image: trading floor · Photo: public domain

⏱ 40 sec read · As of: 28 July 2026

A selloff in chip stocks has taken hold on markets worldwide. Growing doubts over whether the billions invested in artificial intelligence will pay off are dragging shares down from Wall Street to Asia.

Asia was hit hardest: chipmaker SK Hynix fell as much as 13 percent at times, Samsung Electronics up to 10 percent. South Korea's Kospi index – a bellwether for AI investment – dropped 9 percent. Japan's Nikkei and Taiwan's benchmark also fell almost 4 percent.

The trigger is mounting nervousness: after years of euphoric AI investment, investors increasingly ask when, and whether, the enormous spending will actually turn into profit. Chip giant Nvidia, whose planned multi-billion guarantee for OpenAI recently drew attention, also came under pressure.

At the same time, money flowed into assets seen as safe: bonds gained and the oil price eased.

Why it matters to you: many equity funds and retirement products hold technology stocks. If AI euphoria cools, you may feel it in your own savings too. Whether this is a correction or just a dip remains to be seen.

Own synthesis based on reports from Bloomberg, CNBC and Trading Economics (as of 28 July 2026).

Symbolic image · Photo: New York Stock Exchange, Public Domain (Library of Congress), via Wikimedia Commons