In China, the AI bubble has already burst

China's mainland STAR50 index of AI and semiconductor leaders has fallen 40 percent in less than four months, wiping out about $480 billion in market value, according to Reuters-sourced reports. The slump has halted a two-year rally that began with economic stimulus promises and stalled Beijing's push for a "slow bull" market. Traders cited high valuations, tax bills and the threat of US or other countries banning Chinese equipment in data centres, though there was no clear trigger. Goldman Sachs data show AI stocks make up 42 percent of China's market capitalisation. Fund manager Dong Baozhen said "now we see the bubble bursting," while Hong Hao of Lotus Asset Management said the selloff would halt many listings. The China Securities Regulatory Commission did not immediately respond to questions. Some investors see value in the selloff, while others, such as fund manager Wang Zhuo, expect a price war.

Where accounts differ. The Kathmandu Post names the broad blue-chip index as the CSI 300, while bdnews24.com and The Financial Express refer only to China's broad blue-chip index, so the naming is not fully consistent across outlets.

The Kathmandu PostThe Financial Expressbdnews24.com

Written by AI from these outlets' articles: facts they report, claims attributed, numbers checked against the sources. It may still contain errors; read the originals.