SEOUL, Oct. 15 (Yonhap) -- South Korean stocks plunged more than 7 percent Thursday as major chipmakers extended losses amid growing concerns over the sustainability of artificial intelligence (AI)-related investments and rate hikes by the Federal Reserve. The Korean won weakened against the U.S. dollar.
After opening 5.59 percent lower, the benchmark Korea Composite Stock Price Index (KOSPI) extended its losses, tumbling 454.59 points, or 7.57 percent, to end at 5,554.22, after dipping as low as 5,450.81.
The KOSPI fell for the seventh consecutive session, marking its longest losing streak since September 2024.
The sharp sell-off prompted the Korea Exchange (KRX) to activate a sell-side sidecar shortly after the market opened, suspending program selling for five minutes as KOSPI 200 futures fell more than 5 percent for at least one minute.
As losses deepened, the bourse operator activated a circuit breaker at 12:38 p.m., halting trading on the main bourse for 20 minutes after the KOSPI dropped more than 8 percent from the previous session's close.
Overnight, U.S. stocks closed lower as renewed concerns over the sustainability of AI-related spending and hotter-than-expected September inflation data dampened investor sentiment.
The U.S. Consumer Price Index (CPI) rose 0.6 percent on month in September, its fastest monthly increase since April, fueling concerns that persistent inflation could prod the Fed to raise interest rates.
Financial data is displayed on a screen inside the dealing room of Hana Bank in central Seoul on Oct. 15, 2026. (Yonhap)
ejkim@yna.co.kr
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