South Korean Shares Fall on Tech Selloff

2026-07-24 01:35 By Erika Ordonez 1 min. read

The benchmark KOSPI slipped more than 5% to around 6,710 on Friday, snapping a three-day rally as a selloff in technology stocks weighed on investor sentiment.

South Korean chipmakers declined sharply following a selloff in major US technology companies, which raised concerns that slowing returns from heavy AI investments could weaken demand expectations for semiconductor suppliers.

Samsung Electronics and SK hynix both fell more than 7%, alongside losses in SK Square (-6.1%), Hyundai Motor (-9.1%), LG Energy Solution (-5.5%), and KB Financial Group (-5.0%).

At the same time, Brent crude climbed above $100 per barrel amid escalating Middle East tensions, fueling concerns over energy supply disruptions and prompting a broader risk-off move across global markets.

Foreign investors sold around KRW 1.6 trillion worth of Korean equities, further weighing on sentiment.

Separately, new US tariff measures on South Korea and other trading partners added to uncertainty over the export outlook.



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South Korean Shares Fall on Tech Selloff
The benchmark KOSPI slipped more than 5% to around 6,710 on Friday, snapping a three-day rally as a selloff in technology stocks weighed on investor sentiment. South Korean chipmakers declined sharply following a selloff in major US technology companies, which raised concerns that slowing returns from heavy AI investments could weaken demand expectations for semiconductor suppliers. Samsung Electronics and SK hynix both fell more than 7%, alongside losses in SK Square (-6.1%), Hyundai Motor (-9.1%), LG Energy Solution (-5.5%), and KB Financial Group (-5.0%). At the same time, Brent crude climbed above $100 per barrel amid escalating Middle East tensions, fueling concerns over energy supply disruptions and prompting a broader risk-off move across global markets. Foreign investors sold around KRW 1.6 trillion worth of Korean equities, further weighing on sentiment. Separately, new US tariff measures on South Korea and other trading partners added to uncertainty over the export outlook.
2026-07-24
South Korean Shares Climb on AI Optimism
The benchmark KOSPI rose 4.40% to close at 7,097 on Thursday, rallying for a third straight session as technology stocks advanced. Investor sentiment was buoyed by renewed optimism over artificial intelligence after Alphabet reported better-than-expected quarterly revenue, driven by strong cloud growth, and raised its capital spending outlook to support booming AI demand. The results reinforced expectations of sustained investment in AI infrastructure, boosting South Korean semiconductor shares. Samsung Electronics and SK Hynix advanced 3.65% and 4.21%, respectively, alongside gains in Samsung Electro-Mechanics (7.51%), Hyundai Motor (2.75%), and LG Energy Solution (8.72%). Separately, South Korea's economy expanded 0.6% in the second quarter, beating the Bank of Korea's 0.2% forecast as robust semiconductor exports and resilient private consumption supported growth. Meanwhile, Middle East tensions remained in focus after renewed US-Iran hostilities pushed oil prices higher.
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South Korean Shares Extend Gains on Chip Rally
The benchmark KOSPI rose 0.74% to close at 6,798 on Wednesday, extending gains from the previous session as a rebound in global semiconductor stocks supported investor sentiment. The rally followed gains in US chipmakers, with a key US semiconductor index jumping 5.2%. Investors rotated back into AI-related stocks after upbeat corporate earnings helped ease concerns about the sector's outlook, while upcoming earnings from major US tech companies could provide further signals on AI spending and demand. Samsung Electronics led the advance, rising 0.68%, alongside other notable gainers including Hyundai Motor (4.39%), Samsung Electro-Mechanics (2.90%), LG Energy Solution (1.42%), HD Hyundai Heavy Industries (2.99%), Hyundai Mobis (6.99%), and Doosan Enerbility (3.59%). Meanwhile, rising oil prices amid lingering Middle East tensions and caution ahead of major US technology earnings encouraged profit-taking, limiting further gains.
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