On August 19, during early trading on Wednesday, South Korean stocks took the lead in declining among Asian chip-related equities, as escalating bond yields sparked concerns over the substantial investments made by tech behemoths. The South Korean KOSPI index plummeted by as much as 6.8%, while the Asian semiconductor stock index slumped by over 2%, mirroring the downward trajectory of U.S. semiconductor and AI-linked stocks. Bond yields stayed elevated amid inflation and surging government debt, with the heightened risks of increased borrowing costs and uncertainties surrounding the Iran conflict further amplifying market anxieties. The CEO of Fibonacci Asset Management remarked that while the long-term growth prospects of AI remain intact, escalating interest rates and geopolitical risks have deterred investors from paying lofty premiums for this growth. He also highlighted that the stock price declines are indicative of investors cashing in on profits after witnessing robust gains.