Heightened anxieties over U.S. inflation data and AI infrastructure profitability trigger sell-off in major semiconductor stocks.
KOSPI extends losses for 7 consecutive sessions; KOSDAQ for 6; both indices fall over 7%.
South Korean equity markets faced a brutal sell-off on October 15, with both the KOSPI and KOSDAQ indices suffering double-digit percentage drops. Driven by aggressive selling in semiconductor heavyweights, the KOSPI retreated to the 5,500 level, while the KOSDAQ slumped to the 760 range.
According to the Korea Exchange, the KOSPI closed at 5,554.22, down 454.59 points (7.57%) from the previous trading day. The KOSDAQ index finished at 760.82, a decline of 63.06 points (7.65%). The won-dollar exchange rate rose by 6.3 won, closing at 1,344.6 won in intraday trading.
The KOSPI opened lower as market sentiment was dampened by fears of rising interest rates following U.S. inflation data and growing skepticism regarding the profitability of AI infrastructure. As major Asian indices mirrored the weakness, heavy foreign selling—primarily concentrated in the electrical and electronics sectors—sent the KOSPI into a tailspin of over 7%.
Sector-wise, electrical and electronics dropped 10.1%, medical and precision equipment fell 8.9%, machinery and equipment declined 8.4%, and securities slid 6.0%. Large-cap stocks fell 7.9%, mid-caps 3.8%, and small-caps 2.9%.
In terms of trading volume, foreign investors net-sold 3.66 trillion won worth of shares, while institutional and retail investors net-purchased 1.69 trillion won and 1.32 trillion won, respectively. Foreign selling was heavily concentrated in the electrical and electronics sector (3.20 trillion won), followed by finance (183.4 billion won) and machinery/equipment (93.5 billion won).
The KOSDAQ market saw broad declines as external headwinds crushed investor confidence. By sector, machinery and equipment and non-metallic minerals fell 11.7% each, while electrical and electronics shed 9.6%. Foreign investors net-purchased 219 billion won, whereas institutional and retail investors net-sold 164 billion won and 67.1 billion won, respectively.
Select Stocks Buck the Trend Amid Market Rout
RaonSecure (042510) surged 14.01% following its selection as the lead institution for a government-led project to develop physical AI security technology. S-1 (012750) jumped 13.89% on news of a 450 billion won public share buyback and cancellation plan, including existing holdings.
Samsung Biologics (207940) rose 5.50% on optimistic third-quarter earnings expectations, and KT&G (033780) climbed 3.96% on projections of improved performance driven by the expansion of its overseas tobacco business.
DuChemBio (176750) hit the daily upper limit, surging 30.00%, amid expectations of rising demand for diagnostic radiopharmaceuticals for dementia, spurred by the anticipated domestic approval of Eli Lilly’s Alzheimer’s treatment, "Kisunla."
NewinTech (012340) and Bioinfra (199730) also hit the daily limit, rising 30.00% and 29.98% respectively, fueled by hopes regarding a stay in follow-up delisting procedures.
Hyper Corporation (065650) jumped 29.82% on expectations of a change in controlling shareholders alongside an 11 billion won third-party capital increase. SM BEXEL (010580) climbed 18.91% after announcing the acquisition of manufacturing technology for batteries used in low-Earth orbit satellites.
Melcon (179880), newly listed on the KOSDAQ, ended the day at 17,470 won, a 42.03% premium over its initial public offering price of 12,300 won.
Semiconductors and Power Equipment Stocks Slump
SK hynix (000660) fell 11.06% due to concerns over the profitability of AI infrastructure investments. Samsung Electronics (005930) slid 9.48% as fears of rising interest rates linked to U.S. inflation data weighed on the stock.
Samsung Electro-Mechanics (009150) plunged 15.36% amid a broader cooling of sentiment toward global technology stocks. Hyosung Heavy Industries (298040) dropped 14.71% on forecasts of lackluster third-quarter earnings, attributed in part to one-off costs in its construction division.
