US Market Analysis & Korea Daily Briefing — 2026-07-28
The Korean stock market faced a historic sell-off on the 28th, with the KOSPI dropping 10.84% and triggering a circuit breaker following a crash in US semiconductor stocks. Massive foreign selling, fueled by concerns over AI over-investment and China's semiconductor advancement, hit the market hard.
US Market Analysis & Korea Daily Briefing — 2026-07-28
Daily Summary of US Stock Market
The US market showed mixed results amid signs of easing geopolitical tensions. International oil prices plummeted by over 7% as the US and Iran halted mutual military strikes, sparking hopes for lower inflation. However, weakness in tech and semiconductor stocks continued to weigh heavily on the market.
As of the close on Friday (the 27th), the tech-heavy Nasdaq fell 0.6% and finished with mixed results. On Monday (the 28th), a sharp decline in US semiconductor stocks—driven by concerns over slowing demand for high-profit AI chips—severely dampened global investor sentiment.
Major Themes and Issues in the Korean Market
1. Global AI/Semiconductor Sentiment Reversal — Rising Concerns over "AI Over-investment"
On the 28th, the KOSPI closed at 6,023.66, down 732.09 points (-10.84%) from the previous day, while the KOSDAQ fell 59.01 points (-7.72%) to 705.85. The crash in US semiconductor stocks dealt a direct blow, leading analysts to diagnose that "the fundamental premise of the AI-driven financial cycle is wavering." Doubts regarding the sustainability of global AI data center capex have slammed the stock market.
2. Massive Foreign Panic Selling — 2.3 Trillion Won Net Sold
Foreigners were the primary driver of the index decline, net selling 2.3 trillion won in the KOSPI market alone. This marks an intensification of foreign selling for the second consecutive week, which is being interpreted as a sign of global funds rebalancing their portfolios.
3. Impact of China's Semiconductor Ambitions — News of CXMT's DUV Technology Development
News that China’s CXMT (ChangXin Memory Technologies) succeeded in developing DUV (Deep Ultraviolet) semiconductor technology significantly worsened investor sentiment toward domestic chips. Fears over the weakening competitiveness of memory semiconductor firms like SK Hynix and Samsung Electronics surged, contributing to an extreme intraday drop that saw the KOSPI briefly threaten the 5,000-point level.
Recommended Stocks to Watch Today
The Korean stock market is currently in an extreme slump, with tech and semiconductor stocks undergoing a significant correction. Experts warn of the potential for further volatility, and extreme caution is advised for investors.
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SK Hynix (000660) — A top-tier company in the memory semiconductor industry; its upcoming earnings report (29th–31st) and subsequent guidance will be crucial. While currently in a correction phase, it may be viewed as a buying opportunity for long-term investors.
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Hanwha Ocean (011200) — The shipbuilding industry maintains a supply-demand structure independent of global semiconductors, with shipping and shipbuilding sectors holding relatively stronger earnings expectations.
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NAVER (035420) — A large-cap IT platform company with stable core businesses despite the AI investment concerns. It is currently being evaluated as an oversold stock.
Important Notice: This briefing is for reference only; the responsibility for any investment decisions lies with the investor. The market is currently experiencing extreme volatility, so please ensure sufficient risk management and analysis before investing.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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