South Korea's KOSPI index enters bear market territory, falling over 20% from its June peak as Samsung and SK Hynix sell off on AI spending fears.

Samsung Electronics fell 9% and SK Hynix dropped nearly 15% as investors rotated out of AI chip stocks, dragging the Kospi index down roughly 5%.

South Korea's Kospi index dropped significantly, led by chip stocks. Investors questioned the sustainability of record earnings driven by artificial intelligence demand. Samsung…