Seoul market slides over 1% as investors await chip earnings and Fed outlook

On Monday, South Korean shares tracked U.S. market declines, with the KOSPI opening down 0.92% and ending the session 1.46% lower at 5,469.47 points. Trading was thin, covering 190.46 million shares worth about 12.01 trillion won, and the number of declining stocks far exceeded those advancing. Market participants awaited third-quarter earnings from chip leaders SK hynix (due Wednesday) and Samsung Electronics (due Thursday) to gauge AI chip demand and memory price trends.

The Federal Reserve's policy meeting, beginning Tuesday, was also in focus, with expectations of unchanged rates amid persistent inflation. Foreign investors were net sellers of 695.5 billion won, while domestic institutions bought 611 billion won and individuals added 47 billion won. Major losers included Samsung Electronics, Hyundai Motor, and Hanwha Aerospace, while Jeju Air and LG Display posted gains. The Korean won strengthened to 1,323.1 per U.S. dollar.