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  • Kumamoto Earthquake Disrupts Japans Semiconductor Production
    Kumamoto Earthquake Disrupts Japan's Semiconductor Production On July 28, a magnitude 7.1 earthquake struck Kumamoto Prefecture, prompting local manufacturers to halt operations and assess damage. Kumamoto is home to major semiconductor production facilities, including Taiwan's TSMC, Sony, Renesas Electronics, and Tokyo Electron, raising concerns about disruptions in Japan's semiconductor supply chain.According to the Nikkei, a seismic intensity of 5+ was recorded in Kikuyo, where TSMC's factory is located. This level of shaking can cause damage to some buildings and knock over unsecured furniture. Asahi Shimbun reported that TSMC evacuated employees after reaching the evacuation threshold. After confirming all staff were safe, the company began safety inspections of the factory and is gradually allowing employees to return while assessing any damage to production facilities.TSMC is reportedly working to gradually resume operations at its Kumamoto plant, which had been temporarily halted due to the earthquake. Although structural safety has been confirmed, detailed evaluations of the impact on production equipment are ongoing. Construction of the second plant has not shown direct damage, but some work has been suspended due to the possibility of aftershocks.The Kumamoto plant is TSMC's first production site in Japan, operated by its subsidiary JASM. The first plant, which produces logic semiconductors used in automobiles, began mass production in December 2024, while the second plant is scheduled to start production in 2028. Nikkei Asia reported that the Kumamoto earthquake is causing disruptions to TSMC and Toyota's production in southern Japan.Additionally, other local semiconductor companies have also halted operations. Sony Group stopped operations at its image sensor factory in Kikuyo immediately after the earthquake to assess damage to buildings and production equipment. The second plant in Koshigaya, which was preparing to start operations, has been confirmed to have no issues with its building or equipment. Both plants reported no injuries, but the timeline for resuming production at the Kikuyo plant remains uncertain.Renesas Electronics has also suspended operations at its Kawashiri and Nishikimachi plants, which produce automotive semiconductors, since July 28. Damage such as wall cracks, leaks, and fallen ceiling panels have been identified, and investigations into production equipment and products are underway. The clean rooms necessary for semiconductor production remain intact, and there have been no reported injuries.Tokyo Electron reported no significant damage to its buildings or equipment but halted operations at its Koshigaya and Ozuma plants on July 29 for safety inspections. TOPPAN Holdings also suspended operations at its semiconductor and packaging plant in Tamana, with no timeline for resumption. Mitsubishi Electric has stopped operations at its power semiconductor plants in Kikuchi and Koshigaya for safety checks.Automotive and Retail Industries Also AffectedThe earthquake's impact extends beyond the semiconductor industry. According to NHK, Honda has decided to suspend operations at its Kumamoto plant, which manufactures motorcycles, until July 31 to assess damage to equipment and supply sources.Toyota Motor Corporation temporarily halted operations at its Fukuoka-based Miyata, Kanda, and Kokura plants on July 28 but resumed them the following morning. However, production was again suspended from the evening of July 29 until July 31 to assess damage to supply sources and inspect equipment.The most significant human toll among manufacturing facilities has been reported at Japan Pulp and Paper's Yatsushiro plant. Asahi Shimbun reported that part of a chimney collapsed, trapping 11 employees inside. Four have been rescued, while two are in cardiac arrest. The plant, which produces approximately 300,000 tons of printing and newsprint annually, has completely halted operations.Meanwhile, there have also been casualties in the retail sector. Just before 6 p.m. on July 28, part of the second floor of Aeon Mall Kumamoto collapsed due to an explosion. The Kumamoto Disaster Response Headquarters reported three fatalities and five injuries, with additional individuals unaccounted for. Asahi Shimbun cited a senior government official suggesting a possible LP gas leak from the building's facilities. Police, firefighters, and the Self-Defense Forces continue search efforts.The Japan Meteorological Agency has warned of strong tremors, potentially reaching a magnitude of 7, over the next week, particularly in the next two to three days. Logistics disruptions are also spreading, with Yamato Transport halting collection and delivery across Kumamoto Prefecture, and Sagawa Express suspending services in Kumamoto City and Yatsushiro City. Japan Post has also stopped parcel acceptance to and from Kumamoto Prefecture.In April 2016, following the Kumamoto earthquake, the Japanese Cabinet Office estimated damage to factories and infrastructure at approximately 2.4 trillion to 4.6 trillion yen (about $21.3 billion to $40.7 billion), with production losses in the region estimated at 90 billion to 127 billion yen over 34 days. This time, damage to production facilities, along with aftershocks and transportation disruptions, is expected to significantly impact the scale of industrial losses.Meanwhile, Japanese Prime Minister Sanae Takaichi announced that the death toll from the earthquake has risen to 13 as of the morning of July 29. 2026-07-29 16:30:00
  • Government Cautious on Redevelopment, Seoul City Emphasizes Supply in Urban Projects
    Government Cautious on Redevelopment, Seoul City Emphasizes Supply in Urban Projects The South Korean government is showing caution regarding the easing of regulations on redevelopment and reconstruction, revealing a policy divergence with Seoul City, which is actively promoting urban revitalization.According to the real estate industry on July 29, the government has recently addressed the easing of regulations on private redevelopment and reconstruction at a series of real estate policy forums. However, it reaffirmed its cautious stance on relaxing regulations for urban projects, highlighting a difference in approach with Seoul City.Earlier, President Yoon Suk Yeol stated at the 'National Real Estate Policy Forum' on July 23 that "reconstruction often results in larger unit sizes without a significant increase in the number of households, while redevelopment typically leads to a decrease in the total number of households."Regarding the increase in floor area ratio, he noted, "There are differing opinions on whether it helps stabilize the housing market or fuels skyrocketing home prices," indicating a careful approach to comprehensive regulatory easing.Minister of Land, Infrastructure and Transport Kim Yun-deok also expressed caution on July 27 during a national forum, stating, "The Ministry is very cautious about claims that private floor area ratios should be increased."The government argues that the demolition of existing homes during the urban project process could lead to a short-term decrease in supply and potentially stimulate housing prices. While acknowledging the necessity of private supply, it plans to selectively address factors causing project delays, such as improving permits and providing financial support to suppliers, rather than uniformly increasing floor area ratios.In contrast, Seoul City continues to pursue policies aimed at revitalizing urban projects, focusing on rapid integrated planning and the 'Moa Town' initiative. With limited available land in Seoul, the city views redevelopment and reconstruction as key avenues for providing quality housing.Seoul City estimates that approximately 87,000 new housing units will be added through urban projects slated to begin by 2031. Of the approximately 50,000 apartments completed in Seoul last year, about 37,000 were from urban projects, indicating a significant supply impact from these initiatives.A Seoul City official stated, "It is important not only to increase the number of housing units but also to supply homes that citizens genuinely want to live in."Seoul City is currently preparing a response to the delays in redevelopment and reconstruction projects raised by President Yoon at the National Assembly meeting. It is expected to outline the causes of project delays and propose institutional improvements to accelerate project timelines.Currently, major redevelopment and reconstruction sites in Seoul are calculating project viability based on incentives for floor area ratios. Concerns have been raised that if the government's cautious stance leads to specific policy changes, it could increase uncertainty in the planning and viability assessment processes.Local autonomous districts are also showing signs of reassessing the pace of urban projects. Yoon Chan-jong, the head of Jongno District, recently mentioned the need to reconsider about 30 urban projects in the area, taking into account urban planning consistency and traffic impact assessments during a meeting with residents of Changsin 2-dong. A Jongno official stated, "The review of urban projects is currently under consideration by the relevant departments."However, on-site reactions indicate that the government's cautious approach has not yet translated into direct policy changes. A head of a redevelopment association in Gangnam stated, "So far, we have not received any specific guidelines or communications from the government or Seoul City, and we believe this will remain a temporary controversy."* This article has been translated by AI. 2026-07-29 16:27:00
  • Actor Jeon Seung-jae Passes Away After Two-Year Illness
    Actor Jeon Seung-jae Passes Away After Two-Year Illness Actor Jeon Seung-jae, who collapsed while filming the KBS 2TV historical drama 'Goryeo-Khitan War,' has died at the age of 47.According to reports from the broadcasting industry and Yonhap News on July 29, he passed away earlier today.Jeon was found unconscious due to a brain hemorrhage while waiting to film 'Goryeo-Khitan War' at a drama set in Suwon in 2024. He was immediately transported to a hospital for emergency surgery and had been battling health issues for nearly two years.Making his debut in the 2004 film 'Taegeukgi: Brotherhood of War,' Jeon gained recognition through his roles in films such as 'Mask Master,' 'Sinkhole,' and 'Extreme Festival.'* This article has been translated by AI. 2026-07-29 16:27:00
  • Chinese Stock Market Rebounds as Bargain Hunters Enter Amid Stabilizing Liquidity
    Chinese Stock Market Rebounds as Bargain Hunters Enter Amid Stabilizing Liquidity After a decline the previous day, the Chinese stock market rebounded. Bargain buying during the afternoon session helped stabilize the market. On this day, the Shanghai Composite Index closed up 0.40% at 3,828.47, the Shenzhen Component Index rose 1.10% to 13,658.44, and the ChiNext Index increased by 1.55% to 3,378.70. The People's Bank of China announced plans to inject approximately 2.1 trillion yuan in short-term liquidity into the market through reverse repos from now until early August. While the reverse repo rate will remain unchanged, this move is seen more as a measure to stabilize market liquidity rather than a significant easing of monetary policy. However, it is also considered to have played a role in calming market sentiment. Additionally, ahead of earnings reports from major U.S. tech companies like Microsoft, Meta, Amazon, and Apple, investors began purchasing AI-related stocks, which positively impacted the Chinese market. There are expectations that if the big tech companies meet earnings expectations, concerns over an AI bubble may ease. Analysts also noted that the previous day's corrections were excessive, prompting market participants to engage in bargain buying. Zhaoshang Securities stated, "With last week's ETF inflows exceeding 50 billion yuan and recent signals of market stabilization, there is a growing consensus that the Chinese market is nearing a bottom. Even if additional declines occur, the Chinese authorities' market stabilization measures will enhance investor confidence." On this day, the food and beverage sector showed strong performance, with companies like Yiming Food and Junyao Health hitting their daily price limits. As cost pressures eased and prices rose in areas such as dairy products, seasonings, and processed meats, forecasts indicated a recovery in profitability for these companies, leading to an overall rise in food and beverage stocks. The retail sector also saw gains, with Dongbaijituan and Guoguang Lianshuo reaching their daily price limits. News from a meeting held by the Shanghai municipal government on the 28th emphasized the need to significantly enhance services for foreign tourists to boost consumption, which served as a positive catalyst. The meeting also set a long-term goal for Shanghai to become an international consumption hub. Meanwhile, the People's Bank of China set the yuan's central parity rate against the dollar at 6.7899 yuan, a decrease of 0.0029 yuan from the previous trading day, reflecting a 0.04% increase in the yuan's value.* This article has been translated by AI. 2026-07-29 16:24:00
  • Seongnam Mayor Shin Sang-jin Advocates for Respectful Workplace Culture
    Seongnam Mayor Shin Sang-jin Advocates for Respectful Workplace Culture Seongnam Mayor Shin Sang-jin emphasized on July 29 that a workplace culture free of abuse begins with small acts of respect and consideration.To eradicate abuse within the organization and promote a culture of mutual respect, Mayor Shin engaged in direct communication with employees during his commute.On that morning, he conducted a 'Zero Abuse' integrity campaign at the entrance of the city hall, where he interacted with employees as they arrived for work.The campaign aimed to improve authoritarian organizational culture by encouraging leaders to communicate directly with staff and foster a healthy public service environment based on respect and consideration.Mayor Shin greeted each employee arriving for work while holding a 'Zero Abuse' sign and offered high-fives as encouragement.Additionally, a 'Integrity Runway' was set up from the main entrance to the elevator, conveying messages of respect, consideration, communication, and integrity.At the event, a placard campaign featuring slogans against abuse was held, and employees were given supportive drinks, fostering a sense of shared responsibility for integrity among all members of the organization.Notably, this event was significant as it went beyond formal integrity training, with the mayor personally engaging with employees and making eye contact.Mayor Shin reiterated his commitment to improving internal organizational culture as part of his administration's focus on fairness, integrity, and citizen-centered governance.Employees who participated in the campaign responded positively to the mayor's direct encouragement and communication during their commute.One employee remarked, "It's not often that I get to meet the mayor up close in the workplace, but receiving a greeting and encouragement on my way to work made me feel respected as a member of the organization. I believe that small acts of consideration and communication can change the atmosphere of the organization."Citizens also viewed the campaign positively, recognizing that integrity in administration starts with internal organizational culture.One citizen stated, "For public institutions to earn the trust of citizens, a fair and respectful culture must be established internally. The mayor's direct involvement in promoting integrity sends a positive message to the public."The 'Zero Abuse' campaign reflects Mayor Shin's philosophy that changes within the public sector lead to citizen-centered governance, marking a step toward making Seongnam a more transparent and trusted administrative body.Meanwhile, Mayor Shin Sang-jin added, "Leaders must lead by example, actively communicate with employees, and create a respectful and integrity-driven organizational culture to ensure that Seongnam is a city trusted by its citizens."* This article has been translated by AI. 2026-07-29 16:24:00
  • Retail Investors Favor Leveraged ETFs Amid Market Decline
    Retail Investors Favor Leveraged ETFs Amid Market Decline As the domestic stock market experiences significant corrections, individual investors are opting for leveraged exchange-traded funds (ETFs) rather than inverse ETFs that bet on declines. During a period when semiconductor and single-stock leveraged ETFs plummeted by 60% to 70%, retail investors continued to purchase leveraged ETFs, viewing the downturn as a buying opportunity.According to the Korea Exchange, from June 1 to July 29, inverse ETFs like KODEX 200 Futures Inverse 2X and TIGER 200 Futures Inverse 2X ranked among the top performers in domestic ETF returns. As the KOSPI and other domestic indices remained weak, these products recorded returns of 50% to 60%.In contrast, most of the bottom performers during the same period were leveraged ETFs. The semiconductor leveraged ETF saw a decline of around 70%, while the single-stock leveraged ETFs for Samsung Electronics and SK Hynix dropped by over 60%. Leveraged ETFs are designed to track double the daily returns of their underlying indices, leading to greater volatility in returns as market fluctuations increase.Despite the poor performance, investor funds have flowed into leveraged ETFs. During this period, individual investors net purchased 1.1584 trillion won worth of KODEX Leverage. Foreign investors also net bought 243.5 billion won, while institutions net sold 1.3803 trillion won.On July 28, when the KOSPI dropped more than 10%, individual investors made significant net purchases of leveraged ETFs. Even on a day when the KOSPI fell by 12% during trading, retail investors continued to buy leveraged ETFs. Individuals net purchased 266 billion won of KODEX Leverage and 64.8 billion won of KODEX200. Conversely, KODEX 200 Futures Inverse 2X saw net sales of 92.8 billion won, KODEX Inverse 28.7 billion won, and TIGER 200 Futures Inverse 2X had net sales of 3.7 billion won. Institutions net sold 228.5 billion won of KODEX Leverage and 134.3 billion won of KODEX200, but net bought KODEX 200 Futures Inverse 2X and KODEX Inverse for 104.4 billion won and 17.1 billion won, respectively, along with 2.3 billion won of TIGER 200 Futures Inverse 2X.In this context, analysts in the securities industry note that the losses from leveraged ETF investments have significantly increased due to recent market volatility. Mohamed Apabai, head of Asia-Pacific trading strategy at Citigroup Global Markets, estimated in a recent market commentary for institutional investors that the cumulative losses for individual investors in leveraged ETFs based on Korean assets have reached approximately $38.7 billion (about 56.3 trillion won). The market capitalization of leveraged ETFs based on Korean assets has decreased from $52.5 billion on June 22 to around $19 billion recently, with significant declines noted in SK Hynix, KOSPI 200, and Samsung Electronics leveraged ETFs.Mohamed Apabai suggested that the market capitalization of leveraged ETF-related products could fall below $8 billion before the end of the year, stating, "Individual investors have not yet begun to panic sell," and added, "It is too early to shift to an optimistic view on the KOSPI." 2026-07-29 16:24:00
  • South Korea Launches New Public Policy Proposal System
    South Korea Launches New Public Policy Proposal System The Blue House announced it will establish a new public participation policy platform, tentatively named the 'Public Proposal Policy System,' starting July 29. This initiative aims to clarify the president's governance direction.President Lee Jae-myung emphasized that "citizen complaints are a treasure trove," highlighting the importance of identifying and improving inefficiencies and abnormalities in government as a crucial starting point for national innovation.The Blue House plans to identify proposals submitted through the National Petition System that have high public interest and potential for policy development. The new system will allow citizens to enhance the quality of these proposals by directly contributing their opinions.Through the system, citizens can express their views on public proposals via comments, surveys, and other means, discussing improvements and modifications. When necessary, the Blue House will organize public hearings and discussions involving citizens, experts, and relevant agencies to develop more concrete policy alternatives.Proposals deemed likely to be developed into policies will be reviewed by relevant ministries to facilitate institutional improvements and actual policy implementation. The Blue House stated, "We expect that ideas proposed by citizens will not disappear after a single review but will evolve into policies through collaboration between the public and the government."The operation of the system will be overseen by the Anti-Corruption and Civil Rights Commission. To enhance accessibility, the Blue House plans to create a 'Together with Citizens' section on its website to facilitate access to the system.The official name of the system will be finalized through public participation. From July 1 to 14, the Blue House and the Commission received a total of 271 name suggestions, and ten shortlisted candidates will be put to an online vote for a week starting with the system's launch.The Blue House remarked, "Every suggestion from citizens is a valuable asset for improving governance, and this system represents a new model of participation where citizen ideas evolve into policies through deliberation and discussion. We will continue to seek solutions together with the public to ensure that citizen participation is effectively reflected in policy design."* This article has been translated by AI. 2026-07-29 16:21:00
  • Krafton Reports Q2 Revenue of 1.29 Trillion Won, New Games to be Revealed Next Month
    Krafton Reports Q2 Revenue of 1.29 Trillion Won, New Games to be Revealed Next Month Krafton reported a revenue of 1.29 trillion won and an operating profit of 410.9 billion won for the second quarter of this year, marking increases of 94.4% and 67%, respectively, compared to the same period last year.For the first half of the year, the company achieved a revenue of 2.66 trillion won and an operating profit of 972.5 billion won, both setting records for the period. These figures represent increases of 73.3% and 38.3% year-on-year, with the first half's operating profit accounting for 92% of Krafton's total operating profit for 2025.However, the company reported a net loss of 29.9 billion won, a reversal from a net profit of 15.5 billion won in the second quarter of last year, with a loss of 27.4 billion won attributed to shareholders.Revenue from the PUBG IP franchise increased by 25% year-on-year in the first half. Revenue by business segment included 924.2 billion won from PC, 1.15 trillion won from mobile, 37.7 billion won from consoles, and 546 billion won from other sources. According to the company, both user metrics and the number of paying users have increased, continuing a double-digit growth trend.In the second quarter, revenue from the PC platform surpassed 500 billion won for the first time. The PC platform was driven by user engagement from modes like Xenopoint and Payday in 'PUBG: Battlegrounds.' The collaboration with Stella Blade introduced 'Eve Contender' and 'Black Market,' which received positive feedback.Krafton is expanding the PUBG IP franchise into a platform that combines gameplay and content. The company plans to continue introducing high-quality modes and expand collaborations beyond automobiles and K-pop to include global animation IPs.In mobile, Krafton aims to expand its user-generated content (UGC) ecosystem. The company plans to enhance creation tools and utilize global IPs like Naruto and Spider-Man to broaden UGC. A new currency, 'Wow Token,' will facilitate in-map purchases and creator rewards, fostering a virtuous cycle where increased creators lead to more content and gameplay.Subnautica 2 has also received a strong response, particularly with console platform revenue increasing by 143% year-on-year. The total revenue from the Subnautica IP in the first half reached 232.5 billion won, including earnings from Subnautica, Subnautica 2, and Subnautica: Below Zero. The company plans to maintain stable services until the official launch of Subnautica 2 and develop the Subnautica IP into a franchise.Krafton will unveil five new titles at Gamescom 2026 in August, including new projects based on the PUBG IP. The company will introduce 'NO LAW,' 'Project Zeta,' 'Age Twister,' and 'Tangle: Unbound,' marking a significant step in validating its next-generation franchise IP in the market.Additionally, Krafton acquired 300 billion won worth of treasury stock in the first half of 2026 and completed a 99.6 billion won reduction dividend. The total amount of treasury stock, including newly acquired and previously held shares, reached 336.2 billion won, and the company has decided to retire the treasury stock acquired in the second quarter.The total amount of treasury stock retirement, including the second-quarter acquisitions, amounts to 431.5 billion won. The company also plans to acquire an additional 100 billion won in treasury stock in the third quarter and retire all of it. 2026-07-29 16:18:00
  • Mokdong Reconstruction Accelerates Amid Heightened Concerns Over Height Restrictions
    Mokdong Reconstruction Accelerates Amid Heightened Concerns Over Height Restrictions Seoul's Mokdong new town reconstruction projects are accelerating their timelines for selecting construction companies and obtaining permits. This push comes in response to uncertainties stemming from the International Civil Aviation Organization's (ICAO) revised height restriction standards. As multiple bids converge, construction firms are facing complex calculations, and concerns are growing over potential rental shortages due to large-scale relocations.According to the construction industry on July 29, major complexes in Mokdong are advancing their timelines for selecting construction companies and permit procedures by several months compared to initial plans.The 14th complex, the largest in Mokdong with 5,123 units and a construction cost exceeding 3 trillion won, is considering announcing its bidding in September. The 7th complex, originally scheduled for bidding in the first half of next year, has moved its timeline up to October, while the 4th complex is expected to announce its bidding as early as next month.The 12th complex will close its bidding on August 31. The 10th and 13th complexes, each with construction costs around 2 trillion won, have completed their site briefings, with the 10th complex set to finalize its bidding next month and the 13th complex in September. The 8th and 11th complexes are also joining the bidding process in the second half of the year, accelerating the overall reconstruction timeline in Mokdong.The urgency behind this acceleration is linked to the ICAO's revised obstacle limitation surface standards, which are set to take effect in November 2030. Complexes in Mokdong, which are planning to rebuild up to 40 to 49 stories, are concerned that the new standards could impact their planned heights and project viability under domestic application methods.The new standards aim to reduce uniformly restrictive areas for construction while expanding the scope for individual safety assessments. Although specific domestic criteria and transitional measures for existing projects have not been finalized, complexes believe securing project implementation permits before the new standards take effect is crucial to mitigate uncertainties.A representative from a Mokdong reconstruction project stated, "We are tightening our schedules to be among the leading groups in the new town complexes and preemptively block policy uncertainties."However, the simultaneous bidding from multiple projects has increased the burden on construction firms. Initially, 14 complexes were expected to select construction companies sequentially over two years, but with large-scale projects concentrated in the second half of the year, the distribution of manpower and financial resources has become inevitable.Top construction firms like Samsung C&T and Hyundai Engineering & Construction have assessed that they may struggle to handle all the bids. While companies like POSCO E&C and Lotte Engineering & Construction may find opportunities, if construction firms selectively participate in strategic projects, some complexes may face delays in selecting contractors due to unsuccessful bids.As the pace of projects accelerates, the timing of relocations may also become concentrated. The 14 complexes in Mokdong are expected to expand from the current 26,629 units to approximately 47,000 units after reconstruction. If project implementation permits and management disposition permits proceed simultaneously, the existing demand for relocation from about 27,000 units could become concentrated.This influx may be difficult for Mokdong to absorb, potentially impacting the rental markets in Yangcheon District, as well as in Gangseo, Guro, and Yeongdeungpo districts, and even in Bucheon, Gyeonggi Province. Given the high demand for school districts, there are concerns about a decrease in rental listings and rising deposit amounts.Yangcheon District plans to analyze the expected relocation volume by year through a study on stabilizing the Mokdong apartment reconstruction relocation plan and develop strategies to stagger the timing of relocations.In some projects, there are movements to adjust the pace of work considering the capacity of construction firms and the potential for relocation challenges. There is a belief that if bidding and permits are concentrated, it could lead to delays in the projects.A representative from a redevelopment project in Sinjeong-dong remarked, "If we insist on speed alone, we could face bottlenecks in permits or a relocation crisis. Some complexes are showing trends to adjust their bidding schedules to early next year when top-tier construction firms may have more capacity."* This article has been translated by AI. 2026-07-29 16:12:00
  • Black Wednesday: SK Hynix Reports Record Earnings Amid Semiconductor Stock Plunge
    Black Wednesday: SK Hynix Reports Record Earnings Amid Semiconductor Stock Plunge Following "Black Tuesday," "Black Wednesday" has become a reality. Despite SK Hynix announcing record earnings, it was not enough to revive investor sentiment. A sharp decline in U.S. semiconductor stocks, coupled with disappointing earnings expectations, led to a widespread collapse of domestic semiconductor shares, with both the KOSPI and KOSDAQ indices dropping more than 10% during trading. For the first time in history, circuit breakers were triggered on both the KOSPI and KOSDAQ markets for two consecutive days.According to the Korea Exchange, the KOSPI closed at 5,663.24, down 360.42 points (5.98%) from the previous trading day. The index opened at 6,089.11, up 65.45 points (1.09%), but quickly reversed its gains and fell sharply. The KOSDAQ also started at 713.71, up 7.86 points (1.11%), but soon turned downward, closing at 662.68.The ongoing decline triggered the 15th first-stage circuit breaker in the KOSPI market and the 14th in the KOSDAQ market this year. This marked the first instance of simultaneous circuit breakers being activated on both markets for two consecutive days.Earlier that day, SK Hynix reported its second-quarter consolidated revenue at 79.3187 trillion won and operating profit at 60.5426 trillion won. Despite these record figures, the results fell slightly short of market expectations, failing to revive frozen investor sentiment. Consequently, SK Hynix's stock plummeted by 9.61%, while Samsung Electronics also saw a 5.23% decline, as selling pressure spread across major semiconductor stocks.The simultaneous weakness in U.S. semiconductor stocks further dampened investor sentiment. The tech-heavy Nasdaq Composite Index closed down 0.22%, while the Philadelphia Semiconductor Index fell by 4.49%, marking its fourth consecutive day of decline. Major semiconductor stocks, including Micron (-8.85%), AMD (-8.15%), Intel (-5.86%), Qualcomm (-4.21%), and Western Digital (-6.91%), all experienced significant drops.Han Ji-young, a researcher at Kiwoom Securities, stated, "SK Hynix's second-quarter results fell short of market expectations, and the weakened outlook for shareholder returns, along with renewed uncertainties in U.S.-Iran negotiations, have dampened investor sentiment. The panic selling that spread across the market was a result of the broken expectations for a rebound following the previous day's sharp decline." 2026-07-29 16:12:00