KOSPI
The KOSPI retreated over 3% to 5,552.74 amid heavy selling by foreigners and institutions, weighed down by profit-taking and risk-off sentiment in large-cap semiconductor stocks.
Headline
Domestic Markets Plunge on Foreign and Institutional Selling Despite Global Tech Rebound
Key Takeaways
- U.S. markets saw the Nasdaq rebound 1.11% on bargain hunting in beaten-down tech stocks, despite lingering concerns over AI-related debt.
- South Korean markets failed to ride the U.S. tech rebound, with the KOSPI dropping 3.73% and KOSDAQ sliding 3.33% amid dual net selling by foreign and institutional investors.
- The KRW/USD exchange rate ended slightly lower at 1,327.60 KRW, reflecting relatively contained volatility in the foreign exchange market.
KOSDAQ
The KOSDAQ declined 3.33% to close at 781.97, reflecting dampened sentiment across small- and mid-cap growth stocks.
NASDAQ
The Nasdaq rose 1.11% to 26,430.89, though market caution persists over debt burdens and profitability of AI infrastructure investments ahead of major tech earnings.
Today's Watchlist
- Quarterly earnings and profitability guidance on AI infrastructure capex from major tech firms such as Meta and Tesla
- Potential shift in foreign and institutional supply-demand dynamics and support-level defense in domestic equities
- U.S. Treasury yield trajectories and whether the KRW/USD rate can stabilize in the 1,320s range
Risk Note
Concerns persist over debt accumulation and monetization delays relative to heavy capex in AI-related firms, leaving open the risk of heightened market volatility depending on upcoming earnings results.
Last updated: 2026-10-20 16:00:27