Stock markets across Asia fell sharply on Wednesday after reports that the United States struck Iran following the downing of an American military helicopter in the Strait of Hormuz (the critical waterway linking the Persian Gulf to global oil shipping lanes), with Iran retaliating in kind. South Korea's benchmark KOSPI index dropped more than 3.5 percent in morning trading, with major chipmakers Samsung Electronics and SK hynix both falling over 5 percent, while Tokyo's Nikkei average shed more than 1,600 points as selling spread across AI and semiconductor-related stocks. Investor sentiment was further dented by renewed doubts over AI valuations after data centre developer Crusoe Energy Systems suspended a project at a major tech client's request, adding to overnight losses on Wall Street where Apple fell 3.64 percent and the Nasdaq closed nearly 1 percent lower.