Anchor: The benchmark Korea Composite Stock Price Index failed to recover from last week's AI-related losses on Friday, plunging nearly four percent to below the three-thousand-900 mark for the first time since October 23. Analysts say the sell-off reflects growing caution and heightened volatility in global equity markets, particularly as anxiety about the possibility of an AI bubble continues to weigh on valuations.
Yoo Si-hyung has more.

Report: The benchmark Korea Composite Stock Price Index(KOSPI) fell 151-point-59 points, or three-point-79 percent, on Friday to close at three-thousand-853-point-26, failing to recover from last week’s losses tied to concerns about an AI bubble.

The main bourse ended the week down 158-point-31 points, or three-point-95 percent, from the previous Friday’s close of four-thousand-eleven-point-57.

Despite strong quarterly earnings from Nvidia, analysts say the downturn was fueled by an overnight sell-off on Wall Street, driven by continued fears of AI overvaluation and market volatility, which triggered heavy foreign selling.

Trading volume was moderate at 307‑point‑95 million shares worth 14‑point‑02 trillion won, or nine‑point‑five billion U.S. dollars. Decliners heavily outnumbered gainers 718 to 177.

Foreign investors offloaded a net two‑point‑83 trillion won worth of shares.

The index opened lower, tracking overnight losses on Wall Street, and extended its decline as investors grew cautious about overvaluation in AI‑related stocks. Fading expectations of a U.S. Federal Reserve rate cut further dampened sentiment.

Tech shares led the decline, with Samsung Electronics falling five‑point‑77 percent and SK hynix nosediving eight‑point‑76 percent.

Battery maker LG Energy Solution fell three‑point‑51 percent, and LG Chem lost five‑point‑53 percent.

Shipbuilders HD Hyundai Heavy Industries and Hanwha Ocean slipped four‑point‑eight and four‑point‑16 percent, respectively.

The South Korean won depreciated seven-point-seven won against the greenback, trading at one-thousand-475-point-six won as of 3:30 p.m., its weakest since April 9.
Yoo Si-hyung, KBS World Radio News.