South Korean Stocks Fall as AI Return Concerns Weigh

South Korean stocks fell sharply in morning trading on October 20, with the KOSPI down 2.32% as technology shares came under pressure amid renewed concerns about returns on artificial intelligence investment. The benchmark stood at 5,633.96 in a late-morning snapshot, down 134.05 points from its previous close of 5,768.01. It had dropped as low as 5,493.24 during the session. The figures are intraday readings and do not establish where the index finished the day. The decline followed a volatile session on October 19, when the KOSPI recovered from a 3.17% opening fall to close 1.76% higher, at 5,768.01. Institutional investors were net buyers of 574.66 billion won that day, according to reported market figures. The rebound was followed by renewed selling on Tuesday. Semiconductor shares were among those weighing on the market. In the October 20 morning snapshot, SK Hynix was down 2.74% from its previous close, while Samsung Electronics fell 1.15%. The declines came as investors reassessed whether spending on data centers, advanced chips and other AI infrastructure can produce returns sufficient to support current valuations. Rising bond yields and caution over technology...