Kospi tumbles 6% as Asian markets turn red

June 23, 2026 (MLN): Asian markets turned broadly negative on Tuesday after trimming early gains, with South Korean stocks suffering the steepest declines across the region amid a broader risk-off mood.

South Korea’s benchmark Kospi plunged more than 6%, while the small-cap Kosdaq dropped 6.27%, making them the worst-performing major indexes in Asia, according to CNBC.

In Japan, the Nikkei 225 fell 1.5%, snapping an eight-session winning streak, while the broader Topix index lost 0.79%.

Elsewhere, India’s Nifty 50 slipped 0.22%, Australia’s S&P/ASX 200 eased 0.11%, and China’s CSI 300 declined 1%. Hong Kong’s Hang Seng Index also traded lower, shedding 0.16%.

The weakness in regional markets followed a sell-off in major U.S. technology stocks as investors reduced exposure to some of the market’s biggest artificial intelligence and growth names.

Amazon fell nearly 5%, while Meta Platforms lost 2%. Alphabet declined 5%, marking its sharpest single-day drop in more than a year amid concerns over the departure of prominent AI researchers to rival firms.

Meanwhile, Elon Musk-backed SpaceX extended its losing streak, falling 16% and recording a third consecutive session in negative territory.

Market participants noted that while interest in artificial intelligence and technology remains strong, retail investors are increasingly shifting toward exchange-traded funds (ETFs) rather than concentrating investments in individual technology stocks.

It highlighted that corporate earnings continue to provide a key foundation for broader equity market performance.

Oil prices moved lower after Qatar and Pakistan announced progress in discussions between the United States and Iran during talks held in Switzerland.

According to the joint statement, both sides agreed to pursue a roadmap aimed at reaching a final agreement within 60 days and to establish a high-level committee.

Additional pressure on crude prices emerged after the U.S. Treasury Department authorized Iranian oil sales through August.

Investors are also awaiting fresh economic data, including preliminary June Purchasing Managers’ Index (PMI) readings for the manufacturing and services sectors, while earnings reports from Carnival and Korn Ferry remain in focus.

Earlier in the session, Asian markets had opened on a firmer note. Japan’s Nikkei 225 initially gained 0.19%, while South Korea’s Kospi and Kosdaq rose 0.1% and 0.21%, respectively, before sentiment deteriorated and regional equities moved into negative territory.

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