KOSPI Falls 3.5% at Open as 2026 Gain Shrinks From 116% to 31%

South Korea’s KOSPI fell 3.5% at Tuesday’s open, cutting its 2026 gain to about 31% from roughly 116% at June’s record close and leaving it about 39% below that peak. The move extended a chip-led AI selloff: Samsung Electronics and SK Hynix, which accounted for 44% of the index in May, dropped 19.74% and 28.38% between Oct. 1 and Oct. 16. Foreign investors turned net sellers, and the index fell for seven straight sessions through Oct. 15; stronger-than-expected U.S. inflation data then pushed it down 7.57% to 5,554.22 on Oct. 15. Margin loans peaked at 38.63 trillion won on June 24, and forced liquidations topped 50 billion won in each of four sessions through Oct. 16.