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South Korea's KOSPI falls 3.5% as chip stocks slide

Chipmaker shares dragged the market down at the open as doubts over AI spending grew, cutting the index's 2026 gain sharply.

By Standard Topic. AI-generated from the reporting listed under Coverage. Published . Updated .

What happened

South Korea's KOSPI fell 3.5% at the open, cutting its 2026 gain from 116% to 31%. Chip stocks were hit by jitters over AI spending, and Asian shares broadly declined. Bitcoin also dipped as the Kospi fell 3.7% on AI worries.

Why it matters

The drop wiped out much of the index's gains this year. Weakness in Asian chip stocks also spread to other markets.

Timeline

  1. Oct 19, 9:13 PM ET: South Korea's KOSPI fell 3.5% at the open, cutting its 2026 gain to 31%.
  2. Oct 19, 11:20 PM ET: Asian shares were mostly lower in cautious trading, and Japan's Nikkei 225 declined 0.6% in early trading.
  3. Oct 20, 6:22 AM ET: Bitcoin slipped 0.5% to around $81,400 as the Kospi fell 3.7% on AI worries.

Coverage

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