Global AI Stock Price – Sharp Decline in Global AI Stock Prices, A Wake-Up Call for Investors

 

Pakistan Times | The Pakistan Times | Islamabad Times

Wednesday, June 24, 2026

Today, June 24, 2026, global financial markets witnessed a day that experts are calling Black Tuesday. Global AI Stock Price fell so sharply that fear and anxiety were clearly visible on the faces of investors around the world. This decline was not just a minor fluctuation; it shook the entire global economy and caused an earthquake in stock markets that sent shockwaves across the globe.

South Korea's KOSPI index crashed by approximately 10 percent, triggering a 20 minute trading halt. The primary reason for this decline in Global AI Stock Price was heavy selling in Samsung Electronics and SK Hynix, which are two of the most important pillars of the global AI supply chain.

KOSPI had touched a high of 9385.59 on June 19 this year and had risen 122.7 percent in 2026. But today, the same index fell 10 percent in a single day, which is a devastating blow for any market.

This decline was not limited to South Korea. In the United States, the Nasdaq fell 2.2 percent and the S&P 500 fell 1.4 percent. Renowned investor and Bitcoin advocate Arthur Hayes had predicted this situation much earlier. He had warned that rising oil prices would increase the operational costs of AI data centers, weakening company profits, and that is exactly what is happening now.

The biggest reason for the decline in Global AI Stock Price is the growing concern about the rising cost of AI infrastructure and the potential profitability of these massive investments. Over the past few years, trillions of dollars have been spent on AI companies. Amazon announced 100 billion dollars, Meta 600 billion dollars, and Google 75 billion dollars in spending on data centers alone. But the question is whether this investment is really proving profitable.

Companies like Micron, one of the largest suppliers of AI hardware, came under heavy selling pressure. Micron's stock fell more than 13 percent. This is the same company that had risen more than 300 percent this year, but today everything was at stake. SpaceX, which recently went public, saw its market value drop by more than 400 billion dollars this week. SpaceX had conducted the largest initial public offering in American history at 135 dollars per share, valuing the company at 1.77 trillion dollars.

Another major factor behind the decline in Global AI Stock Price was the large scale use of leveraged ETFs in the Korean market. When the market began to fall, these ETFs automatically triggered selling to maintain their leverage, which deepened the decline.

Some analysts believe that the decline in Global AI Stock Price is similar to the DeepSeek moment of early 2025, when the Chinese open source model raised doubts about America's AI dominance. This time, Chinese company Zhipu AI's GLM-5.2 model has secured the third position globally. Jefferies Investment Bank stated in its report that Zhipu's success is a sign that China could overtake America in the AI race.

According to a Chatham House report, China could benefit if the AI bubble bursts because it has cheaper and more practical application based models. China's strategy is focused on smaller, adoptable, and cheaper open source models rather than large and expensive ones.

However, not all analysts are pessimistic. Wedbush Securities analyst Dan Ives believes that the AI revolution is still in its third inning and the current decline in Global AI Stock Price should be seen as a healthy pullback. Ives says that information from Taiwan and South Korea indicates strong demand in the AI supply chain. Bank of America's Vivek Arya believes that the industry is moving from one phase to another. Goldman Sachs analysts say that the AI investment narrative has not yet changed, and this decline is more of a technical correction.

The decline in Global AI Stock Price is a wake up call. It shows that the AI industry must now fulfill its promises and demonstrate tangible profits. If AI companies fail to prove their profitability, Global AI Stock Price could decline further. But some experts believe that this is the best investment opportunity. They say that AI technology is still in its early stages and its demand will increase in the long term.

The sharp decline in Global AI Stock Price has forced investors to think again. But the reality is that AI technology has become a part of our lives, and its future is bright. This wake up call is for all investors and companies to be careful and invest wisely.

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