- South Korea's KOSPI is described as the prime example of turbulence in AI-linked markets, having jumped +18% on Friday July 31st after tumbling -40% over the previous six weeks.
- The market turbulence is tied to a multi-trillion-dollar selloff in AI-linked equities, with the AI-driven bull run turning spectacularly volatile as investors question profitability, competition, and who's paying for it all.
- The article points to SpaceX as a fresh risk: it reports its first results since its blockbuster June IPO after its market value slumped by an eye-watering $1 trillion.
- In the Global Week Ahead, Friday's U.S. non-farm payrolls report is a key event; economists polled by Reuters expect July payrolls to have risen by 91,000 jobs with the unemployment rate at 4.3%.
- The preview covers a selection of FTSE 100, FTSE 250 and selected other companies reporting in the week commencing 3rd August 2026.
South Korea's KOSPI index has seen dramatic fluctuations, jumping +18% on July 31 after a -40% decline over six weeks. This volatility is part of a broader trend affecting AI-related stocks, with a multi-trillion-dollar selloff underway.1
Investors are increasingly concerned about profitability and competition, as the AI-driven bull run shifts from seemingly unstoppable to highly volatile.
Elon Musk's SpaceX is also in focus, reporting its first results since its IPO, with its market value plummeting by $1 trillion.4
The upcoming week will see significant earnings reports, including from BP, which anticipates a 71% annual increase in operating profits, despite challenges in production and exploration write-offs.
As traders await the U.S. non-farm payrolls report, which is expected to show 91,000 job increases, the market remains on edge, anticipating further turbulence ahead.
“KOSPI swung 18% higher on July 31 after a 40% slide over six weeks, while SpaceX has lost $1 trillion in market value since its June IPO. Credit-default insurance costs for AI hyper-scalers are climbing, and Friday's U.S. payrolls report is expected to show 91,000 jobs added and unemployment at 4.3%.”
Hargreaves Lansdown
