KOSPI
The KOSPI fell below the 6,400 mark for the first time in two months amid heavy foreign net selling exceeding 1 trillion KRW, liquidity voids following the end of share buybacks, and profit-taking in semiconductors.
Headline
October 12, 2026 Market Briefing: KOSPI and KOSDAQ Plunge Amid Semiconductor Pullback and Foreign Selling
Key Takeaways
- Following the holiday, domestic markets tumbled as the KOSPI (-3.65%) and KOSDAQ (-4.83%) were hit by AI monetization debates and a fifth consecutive session of foreign net selling.
- Major semiconductor heavyweights Samsung Electronics and SK Hynix dragged indices lower, while LG Innotek plunged over 15% following earnings estimate downgrades.
- In contrast, the Nasdaq gained 0.64% in the previous session driven by big tech rebounds, highlighting a decoupling as domestic equities faced liquidity gaps.
KOSDAQ
The KOSDAQ sank more than 4% as institutional and foreign investors dumped tech growth names and semiconductor materials, parts, and equipment stocks.
NASDAQ
The Nasdaq maintained solid momentum in the prior session, rising 0.64% on bargain hunting across mega-cap tech names including Microsoft and Amazon.
Today's Watchlist
- U.S. September CPI and PPI releases and corresponding interest rate reactions
- ASML and TSMC earnings reports to evaluate global semiconductor capex and AI cycle sustainability
- Potential stabilization of foreign net selling after five consecutive sessions, alongside Samsung Electronics and SK Hynix conference calls and shareholder return updates
Risk Note
Persistent debates over the monetization gap relative to massive AI capital expenditures and volatility in U.S. Treasury yields could sustain foreign outflows and amplify index swings.
Last updated: 2026-10-12 16:00:32