Analyst: AI trades in some parts of Asia are shifting from leading gains to liquidating positions.

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Gold Finance reported that on July 8, Patrick Munnelly, an analyst at Tickmill Group, said that in parts of Asia, AI trading has shifted from a leading position to liquidation. The South Korean stock market continued to fall on Wednesday, dragging the benchmark Korea Composite Index into a bear market. Munnelly said that after a historic rally, investors continue to sell off crowded semiconductor positions. Although investors are trying to distinguish the broader AI narrative from the liquidation of semiconductor positions, this may become more difficult in the future. He added that the market is facing multiple pressures, including geopolitical supply shocks, overexposure in technology stock positions, and stubborn inflation expectations.
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