South Korean Shares Extend Decline on Chip Outlook

2026-10-07 01:40 By Erika Ordonez 1 min. read

The benchmark KOSPI slipped 1.98% to close at 6,804 on Wednesday, extending losses from the previous session as concerns over the sustainability of the semiconductor earnings boom and elevated global bond yields weighed on sentiment.

Investors remained cautious ahead of Samsung Electronics' preliminary third-quarter earnings report on Thursday, with attention focused on whether strong memory-chip demand and pricing can last into 2027 and 2028.

At the same time, US Treasury yields remained elevated despite retreating from multidecade highs, keeping pressure on equity valuations.

Losses were seen in SK hynix (-2.54%), Samsung Electronics (-0.92%), SK Square (-1.64%), Hyundai Motor (-3.30%), Hanwha Aerospace (-4.59%), and HD Hyundai Heavy Industries (-4.76%).

Meanwhile, oil prices fell amid recovering Middle Eastern exports and a planned G7 release of strategic reserves.

South Korea's stronger coverage of November crude oil supplies also reduced concerns over potential energy disruptions.



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South Korean Shares Extend Decline on Chip Outlook
The benchmark KOSPI slipped 1.98% to close at 6,804 on Wednesday, extending losses from the previous session as concerns over the sustainability of the semiconductor earnings boom and elevated global bond yields weighed on sentiment. Investors remained cautious ahead of Samsung Electronics' preliminary third-quarter earnings report on Thursday, with attention focused on whether strong memory-chip demand and pricing can last into 2027 and 2028. At the same time, US Treasury yields remained elevated despite retreating from multidecade highs, keeping pressure on equity valuations. Losses were seen in SK hynix (-2.54%), Samsung Electronics (-0.92%), SK Square (-1.64%), Hyundai Motor (-3.30%), Hanwha Aerospace (-4.59%), and HD Hyundai Heavy Industries (-4.76%). Meanwhile, oil prices fell amid recovering Middle Eastern exports and a planned G7 release of strategic reserves. South Korea's stronger coverage of November crude oil supplies also reduced concerns over potential energy disruptions.
2026-10-07
South Korean Shares Fall on Profit-Taking
The benchmark KOSPI fell 0.89% to close at 6,941 on Tuesday, reversing gains from the previous session as profit-taking and elevated global bond yields weighed on the market. Investors took profits following recent gains, particularly in large-cap technology shares. At the same time, the US 10-year Treasury yield climbed to a 24-year high above 5.34%, reinforcing concerns over higher-for-longer rates. Foreign investors and institutions were also net sellers, offloading a combined KRW 1.75 trillion worth of stocks. Losses were seen in Samsung Electronics (-1.45%), SK hynix (-3.53%), Hanwha Aerospace (-4.66%), Shinhan Financial Group (-1.72%) and HD Hyundai Heavy Industries (-1.41%). Meanwhile, Wall Street's Nasdaq reached a record high, offering a positive read-through for Korean chipmakers. Investors awaited Samsung Electronics' third-quarter earnings guidance later this week, with analysts forecasting record operating profit of around KRW108.1 trillion on robust memory chip demand.
2026-10-06
South Korean Shares End Higher on Tech Gains
The benchmark KOSPI rose 0.46% to close at 7,004 on Friday, extending gains from the previous session as bargain hunting lifted major technology stocks. Strong results from Micron and an upbeat memory outlook provided a positive read-through for Korean chipmakers. SK hynix edged up 0.44%, while other gainers included LG Energy Solution (2.91%), Hanwha Aerospace (3.68%), Samsung Electro-Mechanics (1.28%), and LG Electronics (2.13%). Additionally, September exports surged 83.5% year-on-year to a record $120.9 billion, led by a 263% jump in semiconductor shipments, reinforcing the sector’s strong outlook. Meanwhile, Brent crude remained above $100 a barrel amid renewed Middle East tensions. Korea’s CPI held at 2.9% in September, while the BOK warned inflation could remain around 3% in October, keeping another rate hike in focus. South Korean markets will be closed on Monday for a national holiday.
2026-10-02