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KOSPI Briefly Tops 8,000 Before 6% Plunge as Foreign Selling Hits Chip Rally

Foreign profit-taking exposed the market's reliance on a few chip giants.

Overview

  • The benchmark, which briefly reached 8,046 Friday on AI-chip optimism, reversed to close at 7,493.18 for a 6.12% loss.
  • Foreign investors sold about 5.6 trillion won in a seventh straight session, while retail buyers purchased 7.2 trillion won and institutions sold 1.7 trillion won.
  • Samsung Electronics fell 8.61% and SK hynix dropped 7.66%, with sentiment at Samsung hurt by a planned union strike next week.
  • A sell-side sidecar paused program selling after futures sank more than 5%, and the won weakened past 1,500 per dollar as government bond yields rose.
  • Regulators approved tougher Kosdaq listing and delisting rules this week that raise market-cap minimums and tighten penny-stock and disclosure standards.