Seoul Stocks Sink Over 2.5% on Chip Losses

On September 28, 2026, South Korean stocks experienced a significant decline of over 2.5%, primarily driven by losses in the semiconductor sector. This downturn raised concerns about the overall health of the market and its potential economic implications.

The benchmark Korea Composite Stock Price Index (KOSPI) dropped by 191.18 points, or 2.7%, closing at 6,889.74. This marked the end of a four-day winning streak, as investors opted to lock in profits from large-cap technology shares.

The KOSPI had shown resilience in previous sessions, but heavy selling pressure from foreign and institutional investors led to this abrupt decline. Major players in the technology sector, such as Samsung Electronics and SK Hynix, saw their stock prices fall significantly, with Samsung down 5.43% and SK Hynix down 5.05%.

Market analysts pointed to various factors contributing to this sell-off, including rising bond yields and uncertainties surrounding geopolitical tensions in the Middle East. The overall trading volume was relatively low, indicating cautious sentiment among investors.

As the market reacts to these developments, stakeholders are closely monitoring the semiconductor industry, which plays a crucial role in South Korea's economy.