KOSPI index in Seoul falls 3.73% amid chip stock sell-off — Korea Herald
In Seoul, South Korea, the benchmark KOSPI stock index fell by 215.27 points, or 3.73%, to 5,552.74 points on October 20. During trading, the index dropped as low as 5,493.24 points. As Korea Herald reports, investors took profits after the recent rise in shares of major chipmakers, while concerns about the artificial intelligence value chain weighed on the market.
Pressure on the technology sector
KOSPI opened down 0.6%, and losses later intensified. The publication also links investors' reduced risk appetite to the escalation of protests in France. Before that, the index had risen for two sessions after a sharp sell-off caused by concerns over AI investments. Over seven trading sessions from October 6 through the previous Thursday, KOSPI lost about 21%.
Daishin Securities analyst Lee Kyung-min noted that concerns about credit risks and the profitability of investments in artificial intelligence have not yet disappeared, so the market's recovery has limited sustainability. In his assessment, profit-taking began in the market after the rise in the previous session.
More current news is available on the UA.News Telegram channel Telegram.
Decline in Samsung and SK hynix
Samsung Electronics shares fell 2.98% to 211,500 won. SK hynix shares lost 4.23% and closed at 1.22 million won; according to the publication, this may have been the lowest closing level since April. Shares of SK Square, the parent company of SK hynix, declined 5% to 741,000 won, while Samsung Electro-Mechanics fell 1.28% to 1.16 million won.
Trading volume amounted to 259.75 million shares worth 16 trillion won, or $12.97 billion. The number of declining shares reached 771, while 117 rose. Foreign investors sold shares for a net 535.4 billion won, while institutional investors sold a net 1 trillion won. Individual investors, by contrast, made net purchases of 900 billion won in shares. As of 3:30 p.m., the won was quoted at 1,328.1 won per U.S. dollar, 2.2 won higher than the previous trading session's closing rate.
