🚨BREAKING: South Korea's KOSPI plunged more than 5% on Friday, triggering a sell-side sidecar that halted program selling, before recovering to close down 3.5%.
The index fell as much as 5.1% by mid-morning, with Samsung Electronics and SK Hynix leading declines. The Korea Exchange suspended program sell orders for five minutes after KOSPI 200 futures dropped over 5% for a full minute. It was the exchange's 28th sell-side sidecar this year and the first since October 15, when the KOSPI crashed 7.6%.
The trigger came from Wall Street. Alphabet had its worst day ever, falling around 12% on fears about its heavy AI spending, and Amazon's earnings added to the shock. Foreign investors dumped roughly ₩1.5 to ₩1.6 trillion ($1.1 to $1.2 billion) of KOSPI shares, ending a three-session buying streak, while retail investors and institutions bought the dip.
The KOSPI closed at 5,730.74, down 3.48%. SK Hynix finished down 7.1% at ₩1,418,000 and Samsung Electronics fell 3.0% to ₩225,000. That came just days after both reported record results, with Samsung's Q3 operating profit up 783% to ₩107.4 trillion and SK Hynix's up 632% to ₩83.3 trillion.
For the month, the KOSPI is down 16.2%, among the worst October performances in its history. Strong earnings haven't been enough to offset the market's fear that AI spending is outrunning its returns.
#KOSPI #SouthKorea #AIStocks #Samsung #Markets
The index fell as much as 5.1% by mid-morning, with Samsung Electronics and SK Hynix leading declines. The Korea Exchange suspended program sell orders for five minutes after KOSPI 200 futures dropped over 5% for a full minute. It was the exchange's 28th sell-side sidecar this year and the first since October 15, when the KOSPI crashed 7.6%.
The trigger came from Wall Street. Alphabet had its worst day ever, falling around 12% on fears about its heavy AI spending, and Amazon's earnings added to the shock. Foreign investors dumped roughly ₩1.5 to ₩1.6 trillion ($1.1 to $1.2 billion) of KOSPI shares, ending a three-session buying streak, while retail investors and institutions bought the dip.
The KOSPI closed at 5,730.74, down 3.48%. SK Hynix finished down 7.1% at ₩1,418,000 and Samsung Electronics fell 3.0% to ₩225,000. That came just days after both reported record results, with Samsung's Q3 operating profit up 783% to ₩107.4 trillion and SK Hynix's up 632% to ₩83.3 trillion.
For the month, the KOSPI is down 16.2%, among the worst October performances in its history. Strong earnings haven't been enough to offset the market's fear that AI spending is outrunning its returns.
#KOSPI #SouthKorea #AIStocks #Samsung #Markets
