KOSPI Sinks 10% as SK Hynix HBM4 Pullback Rumors Trigger Global Semiconductor Rout

On Monday, South Korea's KOSPI index plunged 10% following market rumors that SK Hynix may decelerate its HBM4 expansion, according to a report by Tide Research. The news triggered a global semiconductor rout, with SK Hynix and Samsung Electronics both dropping over 12%. In U.S. markets, the Philadelphia Semiconductor Index fell 7.87%, led by a 13.18% decline in Micron. The selloff extended to broader indices, with the Nasdaq closing 2.21% lower. Investors are now shifting focus to Thursday's PCE inflation data and Micron’s third-quarter earnings report. Market sentiment has notably soured, with CME data now pricing in a potential September rate hike. Additionally, a U.S.-Iran oil exemption scheduled to take effect within 60 days has pressured crude prices to three-month lows, further complicating the macroeconomic outlook.