Korean Stocks Plunge as Energy Shock Threatens AI Boom [cO0qlrXVnsk]
Korean stocks plunged 12% overnight, their worst day since the 2008 financial crisis. Korea was the best performing stock market in 2025, which the benchmark KOSPI surging 75%. This was driven largely by AI-fuelled enthusiasm over chip stocks like Samsung and SK Hynix. The war in Iran has changed that narrative. Korea is one of the largest importers of natural gas from the middle east. With energy prices jumping due to the expanding conflict, Korean business are facing dramatically higher operating costs, especially for chip manufacturing plants. Investors were also concerned that increased energy costs would change data center economics and slow the pace of development.