* KOSPI on track for worst week since early March

* Thai baht set for seventh decline in eight sessions

* Malaysian ringgit strengthens 0.4%

By Rajasik Mukherjee

June 26 (Reuters) - Asian stocks took a fresh hit on Friday

after Apple's ( AAPL ) price hikes rattled tech sentiment,

sparking a selloff in tech-heavy markets such as South Korea and

Taiwan and reviving doubts about the durability of the AI-driven

rally.

The MSCI Emerging Markets Asia gauge fell

nearly 4%, hitting its lowest point since June 12. For the week,

the index has lost more than 5% so far, on track for its worst

since the first week of the Middle East conflict.

South Korea's KOSPI fell 8%, prompting the regulator

to impose a temporary trading curb.

The index, which has been one of the biggest beneficiaries

of AI-related inflows so far this year, lost 7.6% this week.

KOSPI is also on track for its worst week since the week ended

March 6.

Apple ( AAPL ) raised iPad and MacBook prices on Thursday, saying it

could no longer shield customers from soaring memory and storage

chip costs driven by the AI industry's datacenter buildout.

"Apple's ( AAPL ) sudden price hike has become a reality check for AI

trades," said Glenn ​Yin, director of research at brokerage

ACCM.

"Investors are beginning to ask who is ultimately bearing

the cost, rather than just celebrating growing semiconductor

demand, and if a significant part of that cost is being passed

onto consumers, then demand elasticity could become the next

constraint on AI-related earnings growth."

Taiwan shares fell as much as 2.3% to their lowest

level since June 17, putting the market on track for its worst

weekly performance since early March.

Across Southeast Asia, Singapore stocks fell 1%,

while those in the Philippines traded 0.6% lower.

Stocks in Jakarta shed more than 1.5%, and

Thailand's benchmark lost over 1%.

Regional currencies also weakened on Friday, pressured by

expectations that the Federal Reserve will keep interest rates

elevated and by a broadly stable U.S. dollar.

The dollar inched lower but remained on track for its first

back-to-back weekly gain since the start of the Middle East

conflict on February 28.

"The combination of strong U.S. data and delayed Fed easing

continues to underpin the dollar through favourable rate

differentials," MUFG analysts wrote in a note.

"Most Asian currencies still face relatively lower, and in

some cases widening, yield differentials versus the U.S.,

limiting scope for sustained appreciation."

The Indonesian rupiah traded 0.2% lower, still

hovering around the key 18,000 mark against the dollar.

The Thai baht shed as much as 0.5%, hitting its

lowest level since May, and was on track for a seventh decline

in eight sessions.

Bucking the broader weakness, Malaysian ringgit

strengthened 0.4%, while the Phillippine peso was largely

flat.

HIGHLIGHTS:

** Core inflation in Tokyo accelerates as energy-driven

price pressures begin to broaden

** Bangladesh urges China to reduce trade gap

** UN halts escort of ships through Hormuz after vessel

comes under attack

Asia stock indexes and currencies at 0441 GMT

COUNTRY FX RIC FX DAILY FX YTD % INDEX STOCKS STOCKS

% DAILY YTD %

%

Japan +0.13 -3.05 -4.35 37.54

China India - -4.79 - -7.94

Indonesi -0.19 -7.13 -2.73 -32.52

a

Malaysia +0.41 -1.02 -0.18 -1.14

Philippi +0.04 -3.99 -0.42 -0.12

nes

S.Korea Singapor -0.05 -0.80 -1.10 11.09

e

Taiwan -0.16 -1.41 -2.58 55.58

Thailand -0.30 -5.89 -0.92 22.59