South Korean Shares Pull Back from Record High
2026-02-02 02:06
By
Erika Ordonez
1 min. read
The benchmark KOSPI fell 5.26% to close at 4,950 on Monday, snapping a record-setting rally, as commodity-driven margin calls sparked panic selling.
The nomination of Kevin Warsh as the next Federal Reserve chair rattled markets.
In addition, the KOSPI tracked Wall Street losses in technology shares, driven by AI profitability concerns.
Sentiment was further pressured by US tariff uncertainty, as President Donald Trump warned of higher duties tied to delays in South Korea’s approval of its US investment bill, despite Seoul signaling the bill could be approved by late February or early March.
Shares of major chipmakers fell even as data showed January exports surged to a record high on robust semiconductor demand, underscoring the gap between strong fundamentals and near-term risk aversion.
Samsung Electronics dropped 6.29% and SK hynix slipped 8.69%, while Hyundai Motor (-4.40%), LG Energy Solution (-4.52%), SK Square (-11.40%), and Hanwha Aerospace (-4.69%) also plunged.