KOSPI plunges 3.48% to 5,730.74 on AI concerns
Published on 10/30/2026 at 22:56 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSTechnology sell-off drives Seoul losses
- The KOSPI closed at 5,730.74 on October 30, down 206.92 points, or 3.48 percent.
- Semiconductor stocks fell as renewed concerns about the returns on artificial intelligence investments weighed on sentiment.
- A sell-side sidecar was activated after KOSPI 200 futures dropped sharply, while foreign investors recorded net sales.
The KOSPI ended Friday's session at 5,730.74, down 206.92 points, or 3.48 percent, according to Yonhap News Agency. The benchmark opened at 5,760.35, already 2.99 percent below the previous close, and extended its decline to an intraday low of 5,599.42 before recovering part of the loss.
Chip stocks lead broad retreat
The sell-off followed overnight losses in U.S. technology stocks and renewed doubts about whether massive artificial intelligence investments will generate adequate returns. The Nasdaq Composite fell 1.38 percent in the preceding session, while concerns about recent earnings and spending plans at major technology companies weakened appetite for AI-linked shares.
Samsung Electronics declined 3.02 percent to 225,000 Korean won, while SK hynix dropped 7.08 percent to 1.42 million Korean won. The moves placed significant pressure on the market-capitalization-weighted KOSPI and reflected broader weakness across the technology complex.
Foreign selling intensifies pressure
Trading conditions deteriorated after the sharp decline in KOSPI 200 futures prompted the Korea Exchange to activate a sell-side sidecar shortly after 10 a.m. The mechanism temporarily restricts program selling when the relevant futures market meets the trigger conditions. The Korea Times reported that this was the first such activation in 11 trading sessions.
Foreign investors sold a net 1.62 trillion Korean won in KOSPI shares, according to Yonhap, while institutions bought 742.55 billion won and individual investors bought 620.97 billion won. Declining stocks outnumbered advancing stocks 655 to 232, indicating that the pressure extended beyond a small group of index heavyweights.
Automakers add to late-session weakness
Market losses also spread to major industrial and automobile names. Hyundai Motor fell 3.59 percent after lowering its annual sales target and investment plans, while Kia dropped 11.73 percent after reporting weaker-than-expected third-quarter operating profit. Hanwha Aerospace declined 8.42 percent after quarterly earnings were affected by delays in deliveries of K9 self-propelled howitzers to Poland.
The Korean won strengthened to 1,334.3 won against the U.S. dollar in daytime trading. The KOSPI's close leaves investors focused on whether the pressure in semiconductor and other AI-related shares persists in the next Seoul session. Further market coverage is available on the KOSPI topic page.
