South Korea's KOSPI Plunges 8.8%, Triggering Another Trading Halt

South Korea's KOSPI reportedly plunged 8.8% and fell below 5,000, triggering a marketwide circuit breaker as selling intensified across technology and semiconductor stocks.
The halt was described as the index's 11th circuit-breaker activation this year, compared with six activations before 2026. The KOSPI is also reportedly 46% below its June record, illustrating the scale of the market's recent decline.
Samsung Electronics and SK Hynix, two of South Korea's largest listed companies, are major suppliers to the global semiconductor industry. Their exposure to AI memory demand has made the Korean market particularly sensitive to the sharp correction in US chip stocks.
South Korea's finance minister pledged measures to curb excessive volatility, according to Reuters. The intervention signals growing official concern, although it does not guarantee an immediate recovery in share prices.