KOSPI plunges nearly 8% to around 5,540 amid reported AI and inflation concerns
Updated
Summary
The benchmark KOSPI fell nearly 8% to around 5,540 on Thursday. The report attributed the decline to concerns about AI valuations and financing costs, which intensified a global technology sell-off, and said investors questioned the sustainability of AI spending.
The report also cited hotter-than-expected U.S. inflation: annual CPI reached 3.7% in September, fueling concerns over further Federal Reserve rate hikes.
Why it matters
The slide extended the KOSPI’s losing streak to seven sessions and took it to its lowest level since late July. The sharp decline triggered a sell-side trading halt.
Foreign investors remained net sellers. Among major technology companies, Samsung Electronics fell nearly 9% and SK hynix nearly 11%.
Other reported declines varied across companies: Samsung Electro-Mechanics fell 14.6% and SK Square 10.1%, while LG Energy Solution fell 4.9%, Hyundai Motor 6.1%, Doosan Enerbility 7.8%, Hanwha Aerospace 2.7% and Kia Corporation 3.3%.