The semiconductor stocks extended their declines in the afternoon. As of the latest update, Shanghai Fudan (01385.HK) dropped 8.11% to HKD 47.6; GigaDevice Semiconductor (03986.HK) fell 5.76% to HKD 353.4; Hua Hong Semiconductor (01347.HK) declined 5.81% to HKD 87.5; ASM Pacific Technology (00522.HK) decreased 5.26% to HKD 102.7; and SMIC (00981.HK) dropped 4.33% to HKD 61.8.
According to Zhitong Finance, chip stocks extended their declines in the afternoon. As of press time, Shanghai Fudan (01385) fell 8.11% to HKD 47.6; Gigadevice (03986) dropped 5.76% to HKD 353.4; Hua Hong Semiconductor (01347) declined 5.81% to HKD 87.5; ASMPT (00522) fell 5.26% to HKD 102.7; and SMIC (00981) dropped 4.33% to HKD 61.8.
In terms of market developments, according to Wall Street News, as the strikes by the U.S. and Israel on Iran caused declines in the stocks and currencies of some developing countries, hedge funds that had heavily invested in emerging market equities are now rushing to reassess their positions. Popular chip stocks such as Taiwan Semiconductor, Samsung, and SK Hynix also face revaluation risks. On Tuesday, shares of SK Hynix and Samsung Electronics fell by nearly 10%.
Notably, SK Hynix’s USD 15 billion additional investment has marked the first major move in global memory production expansion. Open Source Securities believes that due to growing AI-driven demand and limited cleanroom space, the memory chip market is entering a full-fledged ‘seller’s market.’ To address current supply bottlenecks and preemptively prepare for a new wave of AI-driven demand peaks, proactive capacity expansion has become an inevitable choice for leading manufacturers. SK Hynix’s large-scale additional investment will serve as a clear signal of global memory production expansion.
