Today, global equity markets collectively plummeted, with three main triggering reasons:

First, the US stock AI sector led the correction, as the market worries about excessive AI capital expenditure and slow profit realization, coupled with overly crowded positions in tech giants, leading to profit-taking and a pre-market drop of over 2% in Nasdaq futures.
Second, South Korea plans to introduce policies to restrict leverage ETFs from deleveraging, causing the Korean stock market to plunge nearly 10% in a single day, with semiconductor weights dropping over 12%, and panic spreading throughout Asia-Pacific.
Third, rumors of price cuts in optical modules and PCBs disturbed the A-shares market, with AI infrastructure chains and non-ferrous metals sectors falling simultaneously, amplifying the index decline.
Essentially, it is the concentrated release of emotions from overvalued tech sectors with crowded trading. #SOXL $SOXL