The benchmark KOSPI nosedived nearly 8% to around 5,540 on Thursday, extending its losing streak to a seventh consecutive session and marking its lowest level since late July. The slide came as mounting concerns over stretched AI valuations and rising financing costs intensified a global sell-off in technology stocks.
Samsung Electronics and SK hynix fell almost 9% and 11%, respectively, as investors questioned the durability of AI-related spending, mirroring steep losses among US chipmakers. Sentiment was further hit by hotter-than-expected US inflation data, with annual CPI accelerating to 3.7% in September. That reading stoked expectations of additional Federal Reserve interest rate hikes, pushing up borrowing costs and adding pressure on equities.
The sharp decline in the KOSPI triggered a sell-side trading halt, while foreign investors remained net sellers throughout the session. Other notable laggards included SK Square (-10.1%), Samsung Electro-Mechanics (-14.6%), LG Energy Solution (-4.9%), Hyundai Motor (-6.1%), Doosan Enerbility (-7.8%), Hanwha Aerospace (-2.7%), and Kia Corporation (-3.3%).
