Asian markets experienced a sharp downturn as the AI rally cooled, with South Korea's KOSPI halting trading after a significant drop. Investors are now weighing the impact of potential Federal Reserve rate hikes and upcoming inflation data. Meanwhile, escalating Middle East tensions pushed oil prices higher, while the dollar strengthened against the yen.

Asian stocks declined as AI shares pulled back and Middle East tensions weighed on investor sentiment. South Korean shares saw a significant drop, impacting the broader MSCI Asia…

(Bloomberg) -- Asian stocks declined along with US equity-index futures as enthusiasm for the artificial intelligence trade cooled after driving markets to record highs this year.

Asian markets experienced a sharp downturn as the AI rally cooled, with South Korea's KOSPI halting trading after a significant drop. Investors are now weighing the impact of…