AI Sector Selloff Boosts Indian IT Stocks to Biggest Single-Day Gains in 17 Months

Asian chip stocks fell as capital shifted to so-called AI safe-haven trades, with Indian software services poised for their largest single-day gain in 17 months. The India National Stock Exchange's Nifty IT index rose as much as 4.9%, led by HCL Tech and Tata Consultancy Services. Broadcom CEO's comments comparing the AI investment climate to casino betting influenced a decline of over 5% in the Korea Composite Index, which is heavily weighted with chip stocks. Samsung Asset Management portfolio manager Allen Richardson stated: 'Whenever the AI rally cools off, Indian IT stocks rebound.' However, he added that this alone is insufficient to attract foreign capital backflows; sustained improvements in earnings and stock prices are also needed.