South Korea GDP Beats Forecasts at 1.0% So Why Is KOSPI Still Down?

South Korea’s gross domestic product grew 1.0% in the third quarter, the Bank of Korea reported on Oct. 27, more than triple its August forecast of 0.3%. Exports rose 2.3% on semiconductor, machinery and electrical shipments, and facility investment gained 4.1%, while private consumption slipped 0.2%. Real GDP was 3.4% higher than a year earlier after 3.7% in the second quarter, making three consecutive quarters of expansion, yet the Korea Composite Stock Price Index (KOSPI) was down 8.5% over three months. Samsung Electronics and SK Hynix, about half the index, are central to both the export gains and the stock decline; Goldman Sachs cut its KOSPI target to 9,000 from 12,000, saying markets assume 2027 chip-sector earnings will fall 65%.