The KOSPI index plummeted as news emerged about advancements in DRAM technology from Chinese memory semiconductor company Changxin Memory (CXMT). The index fell below the 6000 mark, continuing a decline of over 6%.
As of 10:27 a.m. on October 13, the KOSPI was down 395.40 points (6.14%) at 5991.90 compared to the previous trading day.
In response to the sharp decline, a sell-side circuit breaker was triggered. According to the Korea Exchange, at 9:47:58 a.m., the program selling orders in the securities market were halted for five minutes due to fluctuations in the KOSPI 200 futures index. At the time of the trigger, the KOSPI 200 futures index was down 51.20 points (5.08%) at 955.02 from the previous day's close.
The sell-side circuit breaker is activated when the KOSPI 200 futures index falls more than 5% for one minute. This is the first time a circuit breaker has been triggered in the KOSPI market since August 20, and the first sell-side circuit breaker since August 19.
The KOSPI's decline is attributed to the dampening of investor sentiment following news of technological advancements by Changxin Memory (CXMT), which plans to launch next-generation server products within the year based on its progress in DRAM technology.
Overnight, the Philadelphia Semiconductor Index fell by 2.60%, and U.S. memory semiconductor company Micron Technology saw a drop of 3.88%. SK Hynix's American Depositary Receipts (ADRs) also fell by 4.02%. Other major players like NVIDIA (-1.29%), TSMC (-1.29%), and Broadcom (-1.88%) also experienced declines.
Large-cap semiconductor stocks in the KOSPI are also seeing significant drops. Samsung Electronics fell by 6.99%, SK Hynix by 8.97%, and SK Square by 11.79%. Foreign selling pressure has intensified.
In the securities market, individuals and institutions have net bought 14.241 trillion won and 5.383 trillion won, respectively, while foreigners have net sold 2.5 trillion won.
Most large-cap stocks are also in the red. Samsung Biologics fell by 1.50%, LG Energy Solution by 3.52%, and Samsung Electro-Mechanics by 8.74%.
At the same time, the KOSDAQ index recorded a drop of 35.87 points (4.22%) to 813.23. In the KOSDAQ market, individuals have net sold 166 billion won, while foreigners and institutions have net bought 145.6 billion won and 29.4 billion won, respectively.
Most large-cap stocks in the KOSDAQ are also down. Alteogen fell by 4.74%, EcoPro BM by 8.04%, and JUSUNG Engineering by 2.96%.
Han Ji-young, a researcher at Kiwoom Securities, stated, "The recent weakening of individual investor sentiment, the end of Samsung Electronics' share buyback, and increased foreign selling have combined to weaken the supply-demand foundation of the domestic stock market. The end of share buybacks, which had previously acted as a buffer, has also contributed to the weakened supply-demand strength against selling pressure."
As of 10:27 a.m. on October 13, the KOSPI was down 395.40 points (6.14%) at 5991.90 compared to the previous trading day.
In response to the sharp decline, a sell-side circuit breaker was triggered. According to the Korea Exchange, at 9:47:58 a.m., the program selling orders in the securities market were halted for five minutes due to fluctuations in the KOSPI 200 futures index. At the time of the trigger, the KOSPI 200 futures index was down 51.20 points (5.08%) at 955.02 from the previous day's close.
The sell-side circuit breaker is activated when the KOSPI 200 futures index falls more than 5% for one minute. This is the first time a circuit breaker has been triggered in the KOSPI market since August 20, and the first sell-side circuit breaker since August 19.
The KOSPI's decline is attributed to the dampening of investor sentiment following news of technological advancements by Changxin Memory (CXMT), which plans to launch next-generation server products within the year based on its progress in DRAM technology.
Overnight, the Philadelphia Semiconductor Index fell by 2.60%, and U.S. memory semiconductor company Micron Technology saw a drop of 3.88%. SK Hynix's American Depositary Receipts (ADRs) also fell by 4.02%. Other major players like NVIDIA (-1.29%), TSMC (-1.29%), and Broadcom (-1.88%) also experienced declines.
Large-cap semiconductor stocks in the KOSPI are also seeing significant drops. Samsung Electronics fell by 6.99%, SK Hynix by 8.97%, and SK Square by 11.79%. Foreign selling pressure has intensified.
In the securities market, individuals and institutions have net bought 14.241 trillion won and 5.383 trillion won, respectively, while foreigners have net sold 2.5 trillion won.
Most large-cap stocks are also in the red. Samsung Biologics fell by 1.50%, LG Energy Solution by 3.52%, and Samsung Electro-Mechanics by 8.74%.
At the same time, the KOSDAQ index recorded a drop of 35.87 points (4.22%) to 813.23. In the KOSDAQ market, individuals have net sold 166 billion won, while foreigners and institutions have net bought 145.6 billion won and 29.4 billion won, respectively.
Most large-cap stocks in the KOSDAQ are also down. Alteogen fell by 4.74%, EcoPro BM by 8.04%, and JUSUNG Engineering by 2.96%.
Han Ji-young, a researcher at Kiwoom Securities, stated, "The recent weakening of individual investor sentiment, the end of Samsung Electronics' share buyback, and increased foreign selling have combined to weaken the supply-demand foundation of the domestic stock market. The end of share buybacks, which had previously acted as a buffer, has also contributed to the weakened supply-demand strength against selling pressure."
* This article has been translated by AI.
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