Global Tech Hardware Stocks Plunge on Fed Rate Hike Fears and AI Financing Concerns

Technology hardware stocks across Asia and the United States experienced a sharp selloff on October 14-15, as concerns over additional Federal Reserve interest rate increases and the rising costs of financing massive artificial intelligence infrastructure investments sent investors fleeing from semiconductor and optical communications companies. The rout deepened throughout Asia on October 15, with South Korea's KOSPI index plunging 7.2%, marking its steepest decline, while Japan's Nikkei 225 fell 4.7% and the broader MSCI Asia Pacific index dropped nearly 3%, approaching its weakest levels since July.