Svmuu News: Christopher Wood, Head of Global Equity Strategy at Jefferies, stated in a research report that the recent stock market pullback in South Korea is “natural and healthy.” Wood noted that amid “AI fatigue,” investors are beginning to seek out cheaper value stocks that have not yet been driven up by AI-related trading. However, as the AI capital expenditure race continues, “shovel-seller” plays still have room to run.
Wood said upstream suppliers will continue to be the biggest beneficiaries. The analyst added that the upcoming earnings announcements from hyperscale cloud service providers will serve as the next stress test for AI-related stocks. He noted that the key question is whether the anticipated data center boom will translate into actual construction projects. (Jin Shi)