South Korean Shares Slide on Tech Selloff

South Korean Shares Slide on Tech Selloff

The benchmark KOSPI fell nearly 4% to around 7,730 on Tuesday, extending losses from the previous session, as investors took profits in heavyweight technology stocks following a strong AI-driven rally.

Technology shares remained under pressure as investors grew more cautious toward the AI trade amid recent weakness in global semiconductor stocks and concerns over whether robust earnings can justify lofty valuations.

Samsung Electronics (-6.8%) tumbled despite reporting record preliminary second-quarter earnings that beat expectations, with the strong results largely seen as priced in, while SK Hynix (-5.9%) declined ahead of its planned US listing.

Additionally, battery stocks weakened after LG Energy Solution (-6.4%) posted quarterly operating profit well below forecasts, reinforcing concerns over sluggish global EV demand.

Other major decliners included SK Square (-8.4%), Hyundai Motor (-5.3%), HD Hyundai Heavy Industries (-4.5%), Hanwha Aerospace (-3.9%), and Kia Corp (-4.6%).

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