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Asian shares plunge as traders sell to lock in profits after recent rallies driven by AI

Jun 25, 2026, 9:32 PM | Updated: Jun 26, 2026, 8:06 am

A currency trader passes by a screen showing the Korea Composite Stock Price Index (KOSPI) and the ...

A currency trader passes by a screen showing the Korea Composite Stock Price Index (KOSPI) and the foreign exchange rate between U.S. dollar and South Korean won at the foreign exchange dealing room of the Hana Bank headquarters in Seoul, South Korea, Friday, June 26, 2026. (AP Photo/Ahn Young-joon)
Credit: AP Photo/Ahn Young-joon

(AP Photo/Ahn Young-joon)

BANGKOK (AP) — Shares plunged Friday in Asia, led by heavy losses in Japan and South Korea as traders sold to lock in gains from recent rallies in stocks related to artificial intelligence.

Tokyo’s Nikkei 225 index shed 4.4% and the Kospi in Seoul plunged 7.7%. Hong Kong’s Hang Seng lost 1.9% and the Shanghai Composite index slipped 2.1%.

The movements were typical of recent volatility as investors react to developments in the AI sector.

Both the Nikkei and Kospi hit record highs earlier this week.

On Thursday, the U.S. stock market drifted to a mixed finish after several AI stocks veered back up the roller coaster, while Apple shares dropped after the company hiked prices on many of its products.

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