Meltdown in Korea: KOSPI dives 11% led by SK Hynix stock
Investors are fleeing chip stocks: the collapse of SK Hynix and Samsung deepens the meltdown in Korea, as markets await the Fed's decision and the reports of Microsoft and Meta.
Trading review: current reports, trends, indices, stock prices, bonds, foreign exchange and commodities, and analyst recommendations. 8:00. The flagship Korean index, KOSPI, is plunging by 11%, continuing the negative trend of recent days. In light of the falls, a trading halt mechanism was activated for the second consecutive day. In the background: negative global sentiment in chip stocks and growing concerns surrounding the scale of investments in the field of artificial intelligence. The declines were led by chip giant SK Hynix, which is plunging by more than 16% after publishing its quarterly reports, which failed to reassure investors, as well as Samsung, which is falling by 14%. In the last month, the KOSPI has lost over a third of its value. Price declines were also recorded in Tokyo and Taiwan. The negative trend is also felt overseas. Futures on Wall Street indicate declines of up to 1% in the leading indices. Now the market's eyes are turned to the Fed's interest rate decision this evening (21:00 Israel time) and the financial reports of Microsoft and Meta, which will provide further indication regarding the direction of the sector and global risk appetite.
