Asian tech markets experienced a dramatic downturn on Monday, with South Korean and Japanese stocks plummeting in the wake of renewed hostilities in the Middle East and a sudden shift in investor sentiment.
The South Korean stock market activated its circuit breaker mechanism after the Kospi index fell nearly 9% shortly after the opening bell, a stark reminder of the volatility that has characterized tech stocks in recent weeks. This measures seeks to prevent panic trading and was employed for the third time this year, reflecting the increasing pressure on technology shares.
Japan's Nikkei 225 index joined the descent, experiencing its largest drop in three months, sliding approximately 4.5% as shares across major tech companies took a considerable hit. 
Compounding these woes, global oil prices surged as escalating military exchanges occurred between Iran and Israel, marking the first military confrontation since a ceasefire was brokered in April. Oil prices soared by 4.6%, pushing Brent crude to $97.34 per barrel, raising concerns that inflation pressures could seize hold once more.
Amid a 'messy mix' of challenges facing the market, Charu Chanana, chief investment strategist at Saxo, noted a pivotal repositioning among investors who are questioning the long-term viability of their investments in artificial intelligence, particularly in light of valuation concerns.
In South Korea, leading technology firms saw sharp declines, with shares from chip giants Samsung and SK Hynix markedly lower. President Lee Jae-myung responded to the ongoing market volatility, suggesting that while fluctuations would continue, domestic stocks remain
Source: BBC Business
