FX.co ★ Korean Shares Drop on Tech and Auto Retreat

The benchmark KOSPI fell by 1.97% to approximately 4,008 on Tuesday, undoing the gains achieved in the previous session. This decline was predominantly due to significant losses in the technology and automotive sectors. Key technology stocks, Samsung Electronics, decreased by 1.5%, while SK Hynix experienced a sharper drop of 4.95%. In the automotive sector, Hyundai Motor and Kia Corporation saw declines of 1.29% and 1.45%, respectively. The downturn in the Korean stock market mirrored the overnight losses in U.S. technology shares, as investor sentiment turned cautious ahead of the anticipated earnings report from Nvidia on Wednesday. This report is expected to provide insights into demand trends within the artificial intelligence sector. On a positive note, the shipbuilding sector performed strongly, with HD Hyundai Heavy Industries gaining 2.8% and Hanwha Ocean increasing by 1.1%. Additionally, Naver Corporation saw a slight rise of 0.2% after unveiling its latest technological advancements, particularly in AI applications for the construction and real estate sectors.