KOSPI falls 1.46% to 5,469.47 on foreign selling, Kosdaq drops 3.26%
In short
South Korea's KOSPI closed at 5,469.47 on 26 October, down 80.83 points or 1.46%, and the Kosdaq fell 3.26% to 727.21. Outlets pointed to foreign net selling and caution ahead of the US Federal Reserve decision and Samsung Electronics and SK Hynix earnings. On 27 October both indexes opened sharply higher.
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South Korea's KOSPI closed on 26 October at 5,469.47, down 80.83 points or 1.46%, and the Kosdaq closed at 727.21, down 24.48 points or 3.26%. Newsis and Maeil Business said it was the first KOSPI close below 5,500 since 7 April, when it ended at 5,494.78, about six and a half months. Yonhap described the close as the lowest in about seven months. Electronic Times said it was the lowest close since 5,450.33 on 6 April, and that the Kosdaq closed at its lowest since 31 July. [ 19 , 20 , 22 , 25 , 29 , 31 ]
The KOSPI had opened at 5,499.05, down 51.25 points or 0.92%, and the Kosdaq at 742.17, down 9.52 points or 1.27%. Newsis reported the KOSPI at 5,528.29 at 09:07, and Yonhap reported a pared loss at 09:35. Seoul Shinmun said the index rose as high as 5,565.67 and fell as low as 5,455.11. Yonhap said at 11:14 that the KOSPI had briefly turned higher before falling again to around 1% lower. [ 1 , 3 , 11 , 14 , 17 , 26 ]
Foreign investors were net sellers, while institutions and individuals bought. Newsis, Asia Economy and Electronic Times put foreign net selling at 697.2 billion won, Seoul Shinmun at 695.5 billion won and Maeil Business at 753.0 billion won. Seoul Shinmun said 792 KOSPI stocks fell and 101 rose. Newsis said most sector indexes fell, with medical and precision equipment down close to 6%. Samsung Electronics lost 1.16% to 213,000 won and SK Hynix lost 0.16% to 1,275,000 won. Newsis said PSK Holdings fell more than 9% on the Kosdaq. [ 25 , 26 , 27 , 29 , 31 ]
Outlets gave different explanations. Newsis said investors grew cautious because of a drop on Wall Street on 23 October amid an oil price jump and the week's scheduled events. Chosun Ilbo linked the oil rise to renewed US-Iran military tension and to news that the US and Israel were reviewing a resumption of airstrikes on Iran. It said Brent crude rose 3.1% to $116.72 a barrel and WTI rose 3.8% to $103.27. Seoul Shinmun cited worries about a slowdown in AI investment and pressure on memory chipmakers. Daishin Securities analyst Lee Kyung-min said the mood was one of wait-and-see rather than panic selling, and that no clear buyer had emerged to absorb the foreign selling. [ 11 , 12 , 25 , 26 ]
Attention turned to events later in the week. CBS NoCut News said the US Fed's policy meeting would run on 27 and 28 October, with the result announced at 03:00 Korean time on 29 October. SK Hynix was due to report third-quarter results on 28 October and Samsung Electronics on 29 October. Electronic Times said a report that SK Hynix was seeking a special dividend from its Kioxia stake sale gains lifted its shares by 2.74% early on, but the company filed that nothing was decided. CBS NoCut News said Samsung's preliminary operating profit was 107.4 trillion won. [ 16 , 29 , 30 ]
On 27 October the KOSPI opened at 5,658.65, up 189.18 points or 3.46%, and the Kosdaq at 743.09, up 15.88 points or 2.18%. Chosun Ilbo said the rise reflected a rebound in US AI-related stocks and lower oil prices overnight. At 09:02 Samsung Electronics was up 4.46% at 222,500 won and SK Hynix up 6.27% at 1,355,000 won. [ 34 , 35 , 36 , 37 , 40 ]
Why it matters
Outlets framed the drop as part of a cautious market waiting for the Fed meeting, chipmaker results and big US tech earnings later in the week. Analysts quoted said those events and any extra shareholder returns by Samsung Electronics and SK Hynix could decide the direction of the market.
Key facts
- The KOSPI closed on 26 October at 5,469.47, down 80.83 points (1.46%). [ 19 , 21 , 23 , 25 , 26 , 29 ]
- The Kosdaq closed at 727.21, down 24.48 points (3.26%). [ 20 , 21 , 24 , 25 , 29 ]
- Newsis and Maeil Business said it was the first KOSPI close below 5,500 since 7 April (5,494.78), about six and a half months. [ 25 , 31 ]
- Foreign investors were net sellers on the KOSPI while institutions and individuals were net buyers. [ 25 , 26 , 27 , 29 , 30 , 31 ]
- Samsung Electronics fell 1.16% to 213,000 won and SK Hynix fell 0.16% to 1,275,000 won. [ 25 , 26 , 29 , 31 ]
- On 27 October the KOSPI opened at 5,658.65, up 189.18 points (3.46%), and the Kosdaq at 743.09, up 15.88 points (2.18%). [ 34 , 35 , 36 , 37 , 38 , 39 , 40 ]
Confirmed by several sources
- The KOSPI closed at 5,469.47 on 26 October, down 80.83 points or 1.46%, after opening at 5,499.05, down 51.25 points. [ 1 , 2 , 19 , 21 , 23 , 25 , 26 , 27 ]
- The Kosdaq closed at 727.21, down 24.48 points or 3.26%, after opening at 742.17. [ 3 , 4 , 20 , 21 , 24 , 25 ]
- Foreign investors net sold KOSPI shares on the day while institutions and individuals net bought. [ 25 , 26 , 27 , 29 , 30 , 31 ]
- Samsung Electronics closed down 1.16% at 213,000 won and SK Hynix down 0.16% at 1,275,000 won. [ 25 , 26 , 29 , 31 ]
- On 27 October the KOSPI opened up 189.18 points (3.46%) at 5,658.65 and the Kosdaq up 15.88 points (2.18%) at 743.09. [ 34 , 35 , 36 , 37 , 38 , 39 ]
Still unclear
- How much foreign investors sold. Newsis, Asia Economy and Electronic Times gave 697.2 billion won, Seoul Shinmun 695.5 billion won and Maeil Business 753.0 billion won.
- How much institutions and individuals bought. Institutional net buying was given as 604.6, 611.0 and 603.5 billion won, and individual net buying as 53.7, 47.4, 53.8 and 103.9 billion won, depending on the outlet.
- The main cause of the fall. Newsis linked it to foreign selling and caution before the week's events, Chosun Ilbo to US-Iran tension and oil prices, Seoul Shinmun to worries over AI investment and memory chipmakers.
- Whether SK Hynix will pay a special dividend from its Kioxia stake sale gains. Electronic Times said SK Hynix filed that nothing was decided after a media report.
- How the Fed decision and the earnings reports will turn out. They had not been announced in the documents.
What local media are saying
Timeline, local time
- The KOSPI opened at 5,499.05, down 51.25 points (0.92%), and the Kosdaq at 742.17, down 9.52 points (1.27%). [ 1 , 2 , 3 , 4 , 5 ]
- The KOSPI stood at 5,528.29, down 0.40%, according to Newsis. [ 11 ]
- Yonhap reported the KOSPI had cut its losses and was attempting a rebound. [ 14 ]
- The KOSPI was at 5,494.42, down 1.01%, with foreign investors net selling 374.1 billion won, Chosun Ilbo reported. [ 18 ]
- The KOSPI closed at 5,469.47, down 1.46%, and the Kosdaq at 727.21, down 3.26%. [ 19 , 20 , 26 ]
- On 27 October the KOSPI opened at 5,658.65, up 3.46%, and the Kosdaq at 743.09, up 2.18%. [ 34 , 35 , 36 , 37 , 40 ]