Large artificial intelligence (AI) stocks are fluctuating due to increased volatility in the U.S. an..

Source Domain: www.mk.co.kr

Large AI stocks are experiencing volatility in U.S. and South Korean markets, while medium-sized stocks show relative stability.
Investment, previously concentrated on ultra-large technology and semiconductor stocks, is moving towards the “middle zone” of mid-sized stocks with lower valuation burdens and higher liquidity.
In the U.S., the Nasdaq and S&P 500 dropped significantly, but mid-sized stocks (S&P Midcap 400) showed a gain, illustrating the flight from high-valuation tech to more stable mid-sized stocks.
South Korean markets exhibit similar trends, with large stocks on the Korea Composite Stock Price Index (KOSPI) declining sharply, while mid-sized stocks only marginally lost value.
Mid-sized U.S. stocks, with a high proportion in industrials, finance, and domestic demand, serve as an alternative to large technology stocks.
In Korea, diversified mid-sized stocks, including small-scale semiconductor firms, are benefiting from the AI investment cycle as large semiconductor stocks adjust.
Retail and defense stocks in mid-sized categories are also performing well due to factors such as recovery in consumption and high asset value expectations.
Market shifts toward facility investment in the semiconductor sector are steering investments towards material, part, and equipment stocks, reducing reliance on large semiconductor firms.

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