Asian stock markets declined, led by South Korea, where the KOSPI dropped 5.14%. Japan’s Nikkei 225 fell 1.12% and China’s Shanghai Composite lost 0.76%, while Hong Kong’s Hang Seng gained 0.55%. The sell-off was driven by weakness in semiconductor and AI stocks, renewed Middle East tensions, higher oil prices, and investor caution ahead of this week’s U.S. inflation report. Markets will closely watch U.S. CPI data for signals on the interest rate outlook.
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