SNOWSHAGALSUMMARY · Five Key Takeaways
- The market drew a line between AI's spenders and its suppliers the day after the election.The SOX dropped 12.2% in the following session. Disappointing earnings guidance and reports of a construction halt at a chip plant added to the selling.
- Semiconductors accounted for most of South Korea's selloff.On Nov. 5, chips contributed about −4.6 percentage points to the KOSPI's −5.28% fall (Kiwoom Securities). The index lost 10.98% over two sessions.
- Five states where the governorship flipped account for 41.2% of announced U.S. data center capacity under construction or planned (Eugene Investment & Securities).That is geographic concentration, not the share of capacity confirmed to be at risk of cancellation or delay.
- Regulatory measures fall into three categories: costs, reviews and moratoriums. Most focus on making operators pay their own way.Federal cost-allocation legislation stalled in the Senate after a 57–43 cloture vote, while state and local restrictions are already in force or due to take effect in 2027.
- Projects slated for 2028 face the greatest potential impact, according to Kiwoom Securities.Watch hyperscaler capex plans, 2028 semiconductor earnings estimates and CoreWeave's results (Nov. 11 KST).
As the November 3 U.S. midterm results came in, investors began to worry about data centers. On November 4, the KOSPI fell more than 4% intraday on AI regulatory concerns before closing up 0.62%. That evening in New York, the Dow gained 3.0% and the S&P 500 rose 1.6%, but the Philadelphia Semiconductor Index fell 3.1%. Microsoft and Amazon—the companies spending on data centers—rose, while chipmakers and server suppliers that depend on those budgets were sold.1, 2
The divergence became a rout the next day. On November 5, the KOSPI fell 5.28% after a sell-side program-trading curb was triggered at 10:16 a.m. Foreign investors sold more than ₩3.4 trillion in stocks, concentrated in semiconductors. That night, the SOX plunged 12.2%. On November 6, a market-wide circuit breaker halted KOSPI trading for 20 minutes just three minutes after the open; the index finished down 6.02%.3, 4, 5, 6
Later on November 6 in the U.S., the SOX rebounded 4.2%—recovering only about 30% of its November 5 point loss. This time Micron (+5.1%) and CoreWeave (+6.3%) gained, while Microsoft (−1.0%) and Amazon (−0.3%) declined. The Korean market will have its first opportunity to reflect that rebound on Monday, November 9.7
“Blue wave” refers to the Democrats' strong showing in the midterms: they regained majorities in both chambers of Congress and won additional governorships, with blue being the party's traditional color.8, 9 Candidates promising to halt or condition data center approvals won governorships in states with substantial proposed capacity. In a November 6 note, Eugene Investment & Securities calculated that five states whose governorships flipped from Republican to Democratic control contain 41% of U.S. data center capacity under construction or in the pipeline.5
Three types of regulation matter here: cost-shifting rules requiring data centers to bear their own power, water and tax-related costs; more extensive environmental and development reviews; and moratoriums on new permits (Section 03).
This report addresses three questions:Why did an election hit chip stocks so hard? Will data centers actually be stopped? And how far have valuations already fallen?
The AI spenders rallied.
The suppliers were sold first.
On the first U.S. trading day after the election, investors priced AI spending in two ways: slower capex could improve cash flow for hyperscalers, while hurting the suppliers that earn revenue from those projects.
Nov. 4: Divergence. Nov. 5: Rout.
Nov. 6: Only a partial rebound.
One-day returns for major U.S. stocks and indexes (%) ·Gray: Nov. 4 · Orange: Nov. 5 · Blue: Nov. 6
Sources: Kiwoom Securities daily notes (Nov. 5–6; U.S. prices as of 6:30 a.m. KST), IBK Securities (Nov. 4 S&P 500 and SOX), Yahoo Finance (Nov. 6 close). For Nov. 5, Eugene Investment & Securities reports SOX −12.2%, while Kiwoom's table shows −12.25%.
How the selloff unfolded
- November 4 (U.S.) · DivergenceThe broader market rose as election uncertainty receded, but AI infrastructure stocks—including server, power and optical-network suppliers—fell.8 Kiwoom attributed hyperscalers' gains to expectations of lower capex pressure and better cash flow. Memory chip and power-equipment suppliers, in contrast, faced risks to demand.2
- November 5 (U.S.) · The routFears of data center regulation coincided with weak earnings guidance from companies including Qualcomm (−9.5%) and reports of a construction stoppage at Micron's Taiwan plant.10 Reports of hedge-fund losses added to the pressure.11 Nasdaq −5.5%, Nvidia −9.3%, AMD −17.3%. Even Microsoft (−3.6%) and Amazon (−2.2%) fell.
- November 6 (U.S.) · A partial reboundSOX +4.2%, Micron +5.1%, AMD +11.0% and CoreWeave +6.3%. Microsoft (−1.0%) and Amazon (−0.3%) fell. The S&P 500 rose 0.3%, Nasdaq gained 1.1% and the Dow lost 0.5% at the close. October employment growth of 165,000, well above expectations, was also reported.7, 12
- The fear gaugeThe VIX surged roughly 70% (69.7%) in one day to 28.2—its first daily increase of that magnitude since December 18, 2024.5 It fell to 25.6 on November 6 (U.S.).7
Reports attributed the construction stoppage at Micron's Taoyuan facility in Taiwan to a dispute with a local union over pay and bonuses. Micron did not directly confirm the stoppage, saying operations remained normal. This was a separate issue from data center regulation.13
Semiconductors dragged down the KOSPI
Most of the KOSPI's Nov. 5 decline
came from chip stocks
Breakdown of daily KOSPI move (percentage points) ·Black: Semiconductors· Gray: Other sectors
Sources: Kiwoom Securities (Nov. 6; its Nov. 5 contribution analysis uses a rounded KOSPI decline of −5.3%); Korea Exchange closing data
| Metric | Nov. 5 (Thu.) | Nov. 6 (Fri.) |
|---|---|---|
| KOSPI | 5,383.80 (−5.28%) | 5,059.69 (−6.02%) |
| KOSDAQ | 678.41 (−5.11%) | 644.27 (−5.03%) |
| Market safeguards | KOSPI sell-side trading curb at 10:16 a.m. · KOSDAQ sell-side trading curb at 2:27 p.m. | KOSPI circuit breaker at 9:03 a.m. (20-minute halt) · sell-side trading curb at 9:34 a.m. · KOSDAQ sell-side trading curb at 9:06 a.m. |
| Foreign investors (KOSPI) | Approx. ₩3.4tn net sold, including ₩2.7tn in semiconductors | Approx. ₩2.8tn net sold, including ₩1.8tn in SK hynix |
| Who bought into the selling? | Retail +₩2.3tn · Institutions +₩0.8tn | Institutions +₩1.7tn · Retail +₩0.6tn |
| Samsung Electronics · SK hynix | −7.6% · −9.5% | −6.35% · −10.44% |
Investor-flow figures are based on reports immediately after the close and may differ from finalized data by tens of billions of won.3, 4, 6, 10, 14, 15, 16, 17
Sectors and stocks that held up despite the selloff
- SectorsOn Nov. 5, nonferrous metals and timber +7.2%, healthcare +5.7%, software +5.6%, autos +3.7% (figures in the main text of Kiwoom's report).10
- Individual stocksCelltrion +7.5%, Hanmi Pharmaceutical +9.8%, SK Biopharmaceuticals +12.3%. Kakao, which announced a cancellation of treasury shares, gained 10.7%; Korea Zinc rose 11.0%.3
- Investment stylesEven during the crash week, dividend, value and oversold-stock styles outperformed the KOSPI by 7–8 percentage points. Growth outperformed by 1.1 percentage points.18
Selling on November 5 was concentrated in the AI supply chain. Kiwoom pointed to this sector breakdown as evidence that the shock need not affect every industry equally.10 By November 6, however, the decline had broadened: 760 KOSPI constituents fell and just 131 rose.16
Five states hold 41% of planned and in-construction data center capacity.
Texas alone accounts for 27%.
Eugene Investment & Securities overlaid five states that flipped from Republican to Democratic governorships on a map of data center projects. Those states account for 142.5 GW of the 345.9 GW of announced U.S. capacity either under construction or in the planning pipeline.5
Data center capacity under construction or planned (GW)
Circle area proportional to GW · Texas has about three times the capacity of second-ranked Virginia
Sources: DCMap (October 2026 update), Eugene Investment & Securities. Under construction or planned = construction underway + projects in the pipeline.
The 41.2% figure measures geographic concentration. It is not the share of capacity confirmed to be delayed or canceled by new rules. DCMap aggregates announced or reported project power figures, which may refer to IT load, requested grid connections or long-term campus plans. They are not necessarily the same as realized electricity demand. The impact on any project depends on permitting status, grid-interconnection terms, contracts and applicable law.19
| State | Projects | Capacity (GW) | U.S. share |
|---|---|---|---|
| Texas | 247 | 93.1 | 26.9% |
| Georgia | 120 | 19.8 | 5.7% |
| Ohio | 84 | 17.6 | 5.1% |
| Nevada | 27 | 7.7 | 2.2% |
| Iowa | 27 | 4.3 | 1.2% |
| Five-state total | 505 | 142.5 | 41.2% |
| United States | 1,599 | 345.9 | 100% |
The five states account for 31.6% of projects by count but 41.2% by power capacity, implying larger-than-average projects.5
What matters in this comparison
- Most of the capacity has not yet broken ground.Of the 142.5 GW, just 28.7 GW is under construction. In Texas, 73.6 GW of the state's 93.1 GW is still at the planning stage.5 Hana Securities sees more limited uncertainty for projects already under construction or fully permitted.20 But DCMap's “planned” category covers everything from announced proposals to projects that have secured permits but have not yet started construction.19 A halt on new permits would directly affect the subset still needing approval. Public data do not identify how large that subset is. Permitting itself involves several distinct approvals: obtaining one does not eliminate every regulatory risk (see the table below).
- Texas had paused approvals even before the election.On August 3, the incumbent governor ordered an audit of data centers awaiting grid connection, and the Electric Reliability Council of Texas (ERCOT) suspended its interconnection review timetable.21 On September 14, the governor directed enforcement of water-use reporting requirements. On September 21, he instructed the Texas Commission on Environmental Quality (TCEQ) to stop issuing permits and other state agencies to halt data center approval work until the audit was complete.22 ERCOT is targeting December 10 for submission of its audit report.23 The governor-elect pledged to suspend all approvals until the state legislature acts.24
- Candidates across party lines were also proposing conditions.Every candidate in Ohio called for conditions on data center development. The opposing candidate in Georgia also insisted that developers bear their own costs.25, 26
| Process | Decision-maker | Current status in Texas |
|---|---|---|
| Land use and building permits | County or municipality | Local jurisdiction; no blanket suspension |
| Grid-interconnection review | ERCOT and utilities | Audit ordered Aug. 3; interconnection review schedule suspended. As of August, 17 projects that had passed reliability reviews were still awaiting final authorization for power service. |
| Environmental permits | Texas Commission on Environmental Quality (TCEQ) | Permit issuance suspended from Sept. 21 until completion of the ERCOT audit |
| Other state approvals | State agencies | Sept. 21 directive: no further data center approval work pending audit information |
| Water use | Texas Water Development Board (TWDB) | Sept. 14 directive: enforce water-use reporting and penalties for violations |
Sources: SK Securities (division of powers); Holland & Knight, Texas Governor's Office and Utility Dive (Texas actions). Individual projects may also require building, fire-safety and other approvals.9, 21, 22, 23
| State | Governor-elect's proposals | Context |
|---|---|---|
| Texas | Pause permits for new data centers pending state legislation; end tax breaks; prevent costs being passed to electricity customers; protect local water supplies. Pre-election remarks indicated that projects already under construction would not be halted (as reported). | The incumbent governor ordered a grid-interconnection audit in August and suspended environmental permitting in September. Treatment of permitted but not-yet-started projects remains unspecified. |
| Georgia | Statewide temporary pause on new development and construction, subject to economic and local-impact reviews | The opposing candidate also proposed community consent and developer-funded costs. The legislature failed to pass relevant regulation this year. |
| Ohio | Conditional moratorium: allow projects meeting full cost-recovery, transparency, environmental standards and community-benefits agreement requirements; claw back tax incentives if conditions are not met | Other candidates also advocated conditional restrictions. The governor appoints commissioners to the Public Utilities Commission of Ohio (PUCO), which sets electricity rates. |
| Nevada | Suspend tax incentives until economic benefits are demonstrated; require developers to secure their own electricity and water supplies | — |
Iowa is omitted because the governor-elect's data center policy pledges could not be verified.9, 24, 25, 26, 27, 28
A federal construction ban faces steep hurdles.
The cost-allocation bill also stalled in the Senate.
Brokerage interpretations differ in emphasis: some see a federal construction halt as unlikely and a shift toward developer-funded costs; others warn that state-level permits remain a real risk. These views address different levels of government rather than directly contradicting each other. Meanwhile, local restrictions have already passed.
What exactly would the rules require?
| Category | Requirement | Where it comes from | Project-level impact |
|---|---|---|---|
| COST Electricity rates and grid costs | Require data centers to pay for grid expansion and generation rather than shifting costs to households and small businesses | Federal bill (stalled in the Senate); California laws (from 2027, with rate standards in 2028); Virginia executive order; pledges in Texas, Ohio and Georgia | Higher project costs |
| COST Tax incentives | Suspend or claw back sales- and property-tax relief | Pledges in Texas, Nevada and Ohio; Texas incumbent governor has also discussed repeal | Higher project costs |
| REVIEW Water | Water assessments at permitting, usage reporting and designation of water-stressed areas | California law (from 2027); Virginia executive order; Texas enforcement of water reporting (Sept. 14); Texas campaign pledge | Longer and costlier reviews; site constraints |
| REVIEW Environmental and development reviews | End categorical exemptions from environmental impact review; exclude large projects from expedited state support | California law (from Jan. 1, 2027); Virginia exclusion of sites ≥25 MW from expedited processing (effective Sept. 18) | Delayed construction starts |
| REVIEW Disclosure | Restrict nondisclosure agreements; disclose electricity and water use | Virginia executive order; California laws; Texas campaign pledge | Additional procedural burden |
| REVIEW Community consent | Zoning, voter approval and community-benefits agreements | Local ballot measures; pledges in Georgia and Ohio | Siting restrictions and delays |
| MORATORIUM Permit moratorium or | Suspend new permits until legislation is enacted or an audit is complete; ban projects in specified jurisdictions | Texas (incumbent governor's audit-related hold and governor-elect's pledge); Georgia governor-elect's pledge; 20 local prohibitions or moratoriums | Delayed starts; some cancellations |
Pledges reflect governors-elect; Georgia and Ohio also include proposals by losing candidates.9, 22, 24, 25, 26, 29, 30, 31, 32, 33
Most proposals say, in effect, “Pay for the resources you consume and disclose how much you use.” That message crosses party lines. The House vote was 417–3, while rival candidates in Ohio and Georgia advocated similar conditions. Texas's approval freeze began under its incumbent governor. The final row—permit moratoriums and bans—is the category that stops projects outright. But even without a ban, prolonged reviews can push back construction. Section 04 explains how each route can affect earnings.22, 25, 26, 34
A bigger bill, not a blanket ban
IBK Securities · Kiwoom Securities · SK Securities
- Even with new congressional majorities, the Senate falls short of 60 votes and the president retains veto power. That makes legislation imposing a nationwide construction moratorium unlikely.8
- Policy is more likely to converge on requiring data centers to cover their costs. The House's 417–3 vote offers a precedent.8
- Employment, tax revenue and regional economic benefits constrain broad shutdowns. The main dispute is how electricity and environmental costs are allocated.35
- A new governor does not automatically mean a halt to construction. County governments and regulatory agencies share permitting and rate-setting authority.9
The risks that remain
IBK Securities · Hana Securities · Eugene Investment & Securities (Hana and Eugene nonetheless view the market's fears as excessive)
- Texas may extend its permitting hold or formalize it as a moratorium.8
- Projects already under construction or fully permitted face more limited uncertainty, while those awaiting approval could be delayed or rejected.20
- Data centers could remain a political issue through the 2028 presidential election, prompting changes to Big Tech capex plans within two to three years.5
The House passed it; Senate action stalled
| Metric | House | Senate |
|---|---|---|
| Date | 2026.09.16 | 2026.09.30 |
| Vote | Passed, 417–3 | Cloture failed, 57–43 (60 needed) |
| Debate | Bipartisan support | Opponents argued the standard was too weak because states would only have to “consider” it; they sought a mandatory requirement (as reported). |
There is broad agreement with the principle that developers should pay their costs—but the proposal is not yet law.30, 34
- What would it do?Amend the Public Utility Regulatory Policies Act (PURPA) to require state utility regulators to consider a rate standard that fully allocates generation and transmission/distribution expansion costs to large electricity loads of 100 MW or more. It would not mandate adoption of the standard.29
- Who decides?Even if enacted, final rate decisions would remain with state regulators. The federal proposal would establish a standard for assigning costs; state utility commissions would determine the rates actually charged.29
- When would rates change?Not immediately, even if enacted. State regulators would start considering the standard within one year and decide whether to adopt it within two. States with comparable standards already in place would be exempt.36
Who controls which data center decisions? Expand the jurisdiction guide
Who decides what for data centers?
Authority is divided among federal, state and local governments and utilities. The governor is only one part of that system.
Source: SK Securities (Nov. 5). State utility regulators may be called PUCs, PSCs or other names.
Local voters have already approved restrictions
Of 41 local data center ballot measures,
40 favored development restrictions
Each square represents one measure · November 3 vote · 20 binding prohibitions or moratoriums
Expand the detailed results
| Outcome | Count | Description |
|---|---|---|
| Prohibitions or moratoriums adopted | 20 | 5 outright bans (California 1; Florida 1; Ohio 3) · 12 partial bans (Kansas 3; Maine 1; Ohio 8) · three six-month moratoriums (Maine) |
| Other restrictions adopted | 5 | Zoning rules: 2 · voter-approval requirements: 2 · financial-assurance requirement: 1 |
| Opposition statements | 2 | Illinois; nonbinding |
| Pro-development measures defeated | 13 | Seven nonbinding endorsements · four rezoning measures (Ohio) · one land-use measure (Nevada) · one negotiated-conditions measure (Ohio) |
| Restriction measure defeated | 1 | North Dakota; review requirement |
Source: Ballotpedia (Nov. 6). All measures were at the city or county level; they do not constitute statewide or nationwide bans.
Ohio stands out among the five states: 11 of the 17 local full or partial bans came from Ohio. In Nevada, voters rejected a proposal to add data centers as a permitted land use.33
States without a change in governor also acted
| State | Date | Action |
|---|---|---|
| California | 2026.09.21 | Signed seven data center laws. Measures end exemptions from environmental review, allocate costs under new transmission interconnection contracts, require water assessments during permitting and mandate energy-use reporting. Most take effect in January 2027, with data center electricity-rate standards to be established by January 2028. |
| Virginia | 2026.09.18 | Issued an executive order creating a new data center oversight framework. Sites of 25 MW or more were excluded from state site-readiness assistance and expedited handling. The state is pursuing rate structures designed to prevent costs from flowing to households and small businesses, along with designations of cooling-water-stressed areas. Some provisions are slated for legislative consideration in 2027. |
The date a law is signed is not the date its costs necessarily take effect. Virginia ranks second for U.S. data center capacity under construction or planned (31.6 GW), further illustrating why the 41.2% figure is not the share of all U.S. capacity exposed to regulation.31, 32, 37
At the federal level, lawmakers are debating a common approach to allocating data center costs, but the relevant bill has not passed. Actual electricity rates and cost allocation are determined by state regulators; development and building permits fall to the relevant state and local authorities. A nationwide ban would have to overcome the Senate's 60-vote hurdle and a presidential veto. By contrast, Texas's approval hold, California's cost and review rules, Virginia's exclusion of large projects from fast-track support and local bans or moratoriums are already real. Cost increases and construction constraints are not mutually exclusive: both can apply, depending on the location and project. Nationwide construction has not stopped, but permitting and siting risks have risen on a project-by-project basis.
In a pre-election interview, the Texas governor-elect reportedly said the moratorium would cover new permits, not projects already under construction.27 In a post-election interview, the governor-elect said data center work should stop until safeguards are in place.38 The treatment of projects with permits but no construction start was not specified.
Kiwoom sees the biggest impact on 2028 projects.
The market moved within two days.
Kiwoom Securities expects data center regulation to have a greater impact on projects slated for 2028 than those scheduled for 2027. The exact scope of the rules, actual delays and any slowdown in AI demand have yet to be established.10 Texas's approval hold, however, has been in place since August.21
Three ways regulation reaches earnings
From left to right, the potential impact on projects becomes progressively more severe
Grid and water charges rise; tax breaks shrink. Projects still go ahead, but returns deteriorate. Debt-financed developers feel the pressure first (Section 05).
Longer reviews can postpone construction even without a ban, potentially pushing back orders for GPUs, memory and servers. Examples include California's environmental reviews (from 2027) and Virginia's removal of expedited handling.
A hold on new permits delays construction for its duration, and some projects may be canceled. Examples include Texas's new-permit hold and 20 local prohibitions or moratoriums.
Any changes to project timelines are likely to show up first in 2028 earnings estimates. Share prices move before actual earnings do.22, 31, 32, 33
Regulatory timeline
Filled markers indicate milestones directly affecting data center permits
- 2026.08.03Texas orders a grid-interconnection auditDirected by the incumbent governor. ERCOT suspends its data center interconnection review schedule.
- 2026.09.16House passes the data center cost bill417–3 vote
- 2026.09.18Virginia issues data center executive orderEnds expedited support for sites ≥25 MW; establishes rate and water oversight framework
- 2026.09.21Texas pauses environmental permits and other state approvalsPending the ERCOT audit. California signs seven data center laws on the same day.
- 2026.09.30Senate fails to invoke cloture on the bill57–43; three votes short of 60
- 2026.11.03Midterm elections and local ballot measuresFive governorships change party control; 40 of 41 local data center ballot measures favor restrictions
- 2026.12.10Target date for ERCOT audit reportFirst potential checkpoint for lifting the Texas permitting hold
- 2027.01.01Most California laws take effectEnds environmental-review exemptions; water assessments for permits; new transmission-interconnection cost obligations
- 2027.01.03New Congress convenesThe Senate remains below the 60-vote threshold; the president still holds veto power
- 2027.01Governors take office and state legislatures meetTexas governor inaugurated January 19; the point when a new permitting policy and state legislation may diverge
- 2028Year of projects expected to see the greatest regulatory impactKiwoom Securities assessment. California deadline to establish data center electricity-rate standards (January 1).
Sources: Texas Governor's Office (Sept. 21), Holland & Knight (Aug.–Sept.), Utility Dive (Aug. 21 and Sept. 21), CBS News (Sept. 16), Environment+Energy Leader (Oct. 1), Ballotpedia (Nov. 6), The Texas Tribune (Nov. 4), Hana Securities and Kiwoom Securities. Dates are in U.S. local time.
How brokerages see the timing
- Kiwoom SecuritiesQuestions about 2028 earnings visibility emerged in October and have already been substantially reflected in the selloff. The latest drop has a strong forced-selling or capitulation character.10
- Hana SecuritiesThe near-term earnings effect is limited, but doubts about growth visibility two or three years out make a short-term correction hard to avoid.20
- Daishin SecuritiesThere is a counter-scenario: with new terms beginning in 2027, developers might speed up construction before any legislation takes effect.39
Two signals to watchKiwoom Securities
- Hyperscaler capexDo companies revise their U.S. or overseas capital spending plans?
- 2028 semiconductor earnings forecastsDo the 2028 consensus estimates for Korean and global semiconductor companies—recently revised higher—start coming down?10
If regulation raises costs,
the most indebted are exposed first.
SK Securities argues that cost-based regulation may show up in the profitability of individual projects before it changes the industry's total capex.9 Even within the AI supply chain, the spenders, suppliers and debt-financed builders experienced three very different sessions (U.S. dates).
The spenders
Hyperscalers: Microsoft, Amazon, Alphabet and Meta
Kiwoom and IBK Securities attributed the November 4 rally in hyperscalers to hopes that lighter capex burdens would improve cash flow.2, 8 Eugene Investment & Securities noted that credit default swap (CDS) spreads for Big Tech had been relatively stable since mid-October.5
The suppliers
Memory, semiconductors, servers and electrical equipment
Kiwoom sees risks for memory-chip and electrical-equipment companies heavily dependent on capex, although it expects little disruption to existing supply contracts or investment projects already in progress.2
The debt-financed builders
Neoclouds (CoreWeave) and more indebted hyperscalers (Oracle)
According to Eugene, CoreWeave's CDS spread was climbing sharply, while Oracle's remained below its October 20 peak.5
How higher costs squeeze returnsSK Securities
- Upfront capital costsIf developers must pay for grid upgrades and lose tax breaks, the cost of getting a project built increases.
- Fixed operating costsMinimum electricity-use commitments create bills even when data center utilization is low.
- If demand disappointsThose costs are difficult to cut even if AI demand falls short of expectations.9
Companies carrying heavy debt service and fixed costs are most exposed. Citing a surge in CoreWeave's bond yields and CDS spreads, Daishin Securities urged investors to examine cash flow, interest expense and financing plans—not just revenue growth—in its upcoming third-quarter results. The same report argued that successive bond offerings by Big Tech companies, including Oracle and Meta, had heightened worries about the financial burden of their capex plans.39
Demand-side signals also turned more cautious. On November 5 (U.S.), Bloomberg reported that Microsoft was tightening oversight of data center projects run by neocloud providers such as Nebius, IREN and Nscale, withdrawing from projects it deemed too risky. CoreWeave fell 9.8% that day before gaining 6.3% on November 6.7, 40
KOSPI falls below 1× forward book value.
Foreign chip-sector sales reach ₩39.8tn in three months (200-stock universe).
Daishin Securities calculated the KOSPI's 12-month forward P/E at 3.77× as of the November 5 close, a historically depressed level below 4×. Its November 6 close also fell below Daishin's 1× forward P/B reference level of 5,330 points.39 A low forward P/E means valuations have become less demanding—not that future profits are guaranteed. If the earnings estimates in the denominator, especially those for 2028, fall, the multiple rises even at the same stock price, changing the apparent valuation case.
How far has
the KOSPI fallen?
Index levels and distance from the Nov. 6 close. Markers show position on a 4,400–9,200-point scale.
Sources: Korea Exchange (closing levels), Daishin Securities (Nov. 6), Eugene Investment & Securities (Nov. 6), Top Star News (intraday low)
What to watch in the numbers
- Memory leaders test their July trough valuationsSamsung Electronics and SK hynix traded at 1.21× and 1.23× 12-month forward P/B, respectively, at the November 5 close—near their late-July lows. Hana Securities sees a higher floor than the pre-AI lows of 0.9× and 0.8×.20 A mechanical adjustment for November 6's share-price falls produces roughly 1.13× and 1.10×, respectively, below those July levels.
- Foreign net selling: ₩39.8tn over three monthsThis figure covers the 200-stock universe tracked by Yuanta Securities, not necessarily the entire exchange. Through November 5, foreign net sales of semiconductor and equipment stocks totaled ₩5.6tn over one week, ₩17.5tn over one month and ₩39.8tn over three months. Institutions bought a net ₩824bn in that sector over the same week (versus approximately ₩2.7tn across the broader market).18 Foreign ownership of the semiconductor sector fell to 46.6% on November 5, the lowest since 2013 according to Eugene Investment & Securities.17
- Bond yields fell as prices roseOn November 5, when the program-trading curb was triggered, South Korea's 10-year government bond yield fell 7.5 basis points to 3.875%. The U.S. two-year Treasury yield fell 12.5 basis points that evening, measured at the close.11
What history says after VIX spikes
Eugene Investment & Securities examined days since 1990 when the VIX jumped by more than 30%. In 90% of cases, the S&P 500 was higher 250 trading days later, with an average return of +15.8%. Since the global financial crisis, the corresponding figures were 94% and +18.5%.5
These are historical averages, not guarantees. The index was still down a year after September 17, 2001 (−14.3%), September 29, 2008 (−5.6%) and November 26, 2021 (−14.1%), among other cases. The U.S. equity statistics cannot be applied directly to the KOSPI.
Brokerage views range from
“don't chase the selloff” to “add exposure.”
| Brokerage | View | Rationale |
|---|---|---|
| Eugene Investment & Securities | Avoid panic selling Reduce reliance on semiconductors | KOSPI down 41% from its June peak as of Nov. 5. A historical rule of thumb for the end of a boom is a 50% drawdown, pointing to 4,500–4,600 and another roughly 10–15% downside from the Nov. 5 close.5 |
| Kiwoom Securities | Wait rather than panic-sell Broaden exposure beyond semiconductors | Regulatory impact should be concentrated in 2028 projects; fears about 2028 have been substantially priced in since October.10 |
| Daishin Securities | Opportunity to add exposure Semiconductors | A blanket federal ban is unlikely; the 3.77× forward P/E on Nov. 5 suggests an outsized drop near a potential valuation trough.39 |
| Hana Securities | Overweight Semiconductors | Forward P/B of about 1.2× for major memory names is near July lows; an existential constraint on AI investment is unlikely given strategic competition for AI leadership.20 |
| IBK Securities | Policy assessment Costs likely to take precedence over bans | A federal moratorium law is unlikely; regulatory risk is greater at the state than the federal level.8 |
Based on brokerage reports dated November 5–6.
Key dates ahead
| Date (KST) | Event | What to watch |
|---|---|---|
| 11.09 | China October CPI and PPI | Growth signals and commodity prices |
| 11.10 22:30 | U.S. October CPI | Consensus +0.3% month on month (September +0.6%); core +0.2%35, 41 |
| 11.10~13 | Federal Reserve officials speak (U.S. dates) | Any dovish comments amid market volatility35 |
| 11.11 07:00 | CoreWeave Q3 earnings conference call (Nov. 10, 5 p.m. ET) | Cash flow, interest expense and funding plans39, 42 |
| 11.13 22:30 | U.S. October PPI | Consensus +0.4% month on month35 |
| 11.18 07:00 | Nvidia Q3 earnings call (Nov. 17, 5 p.m. ET) | Data center demand and next-quarter guidance43 |
| Dec. 10 (U.S.; target) | ERCOT data center audit report due | Whether Texas lifts its permitting hold22, 23 |
| 2027.01.03 | New Congress convenes | Fate of the data center cost-allocation bill. If the session ends without the Senate invoking cloture, the measure must be reintroduced in the new Congress. |
| 2027.01 | Inaugurations in five states (Texas Jan. 19) and state legislative sessions | Permit freezes or cost conditions? |
Developments that could delay or change the thesis
The first scenario would stall projects awaiting permits in Texas. If the second or third scenario materializes, the effect could arrive before the 2028 project cycle.
What is established,
and what remains unknown?
KNOWNEstablished facts
- The five states hold 142.5 GW of announced capacity under construction or planned (41.2% of the U.S. total); 113.8 GW of it has not yet broken ground.
- Texas's August grid-interconnection audit and September environmental permit halt; the new governor takes office January 19.
- Texas governor-elect: moratorium on new permits, while construction already underway would continue (as described in pre-election reporting).
- House passed cost-allocation bill 417–3; Senate cloture failed 57–43.
- Of 41 local ballot measures, 40 favored restrictions; 20 binding bans or moratoriums passed.
- California signed seven laws (Sept. 21, mostly effective 2027 onward); Virginia issued an executive order (Sept. 18).
ESTIMATEEstimates and judgments
- Federal moratorium legislation unlikely; policy likely to focus on cost allocation (IBK, Kiwoom and SK Securities).
- The greatest regulatory impact is expected in 2028 (Kiwoom).
- Eugene's historical 50%-drawdown benchmark implies KOSPI 4,500–4,600.
UNKNOWNWhat remains unknown
- The part of the preconstruction pipeline—especially 2028 projects—that still needs fresh permits.
- Whether individual states will move to full new-permit moratoriums and for how long.
- How much of the Nov. 5 chip-stock decline was actually attributable to regulatory fears.
- Whether hyperscalers will revise 2027 and 2028 capex.
- CoreWeave's financing capacity and the broader credit-transmission channel.
The regulatory risk is not a nationwide shutdown.
It is project-level delay and higher costs.
The November 5 (U.S.) collapse in chip stocks reflected overlapping concerns: data center regulation, weaker corporate guidance, reports about Micron's Taiwan plant, and questions about AI investment returns and credit risk (Kiwoom and Daishin Securities). No reliable breakdown assigns a specific share of the decline to regulation. It was one of several factors amplifying the selloff. The SOX's November 6 rebound recovered only 30% of the preceding day's point loss.
A nationwide federal ban faces steep hurdles, and even the cost-allocation bill has stalled in the Senate. State and local measures, however, are already taking effect. Texas paused approvals under the incumbent governor before the election; California passed laws tightening cost responsibility and reviews (mostly effective from 2027); and local voters approved prohibitions and moratoriums. The 41.2% figure shows where projects are concentrated, not that all this capacity will be blocked. The actual effect depends on each project's stage and whether its developer can absorb added costs and delays. Kiwoom sees 2028 projects as most exposed. Debt-financed developers such as CoreWeave may feel cost increases sooner. Three tests will show how much of that risk the market has already priced in.
- 1Is it a ban or a bigger bill?Do state laws, permitting decisions and local measures stop at assigning costs, or escalate into review delays and permit freezes? The crucial unknown is how much of the unbuilt pipeline still requires new approvals. The first checkpoint is ERCOT's audit report, targeted for December 10 (U.S.), followed by the new Texas governor taking office and the state legislative session in January 2027.
- 2Are the forecasts actually coming down?Watch for downward revisions to hyperscaler capex plans and semiconductor earnings estimates for 2028. Nvidia's results on November 18 KST, and any accompanying hyperscaler spending commentary, will provide an early test.
- 3Can the weakest link hold?CoreWeave's earnings (November 11 KST) and neocloud credit risk as reflected in CDS spreads.
This report is not a recommendation to buy or sell securities. Dates, calculations and data definitions are detailed in the expandable sections below.
Calculation notes
Semiconductor contribution to the declineKiwoom Securities (Nov. 6) sector contribution analysis: semiconductors −4.6 percentage points, other sectors −0.7, totaling −5.3% (a rounded version of the KOSPI's −5.28%).
Five-state totals93.1 + 19.8 + 17.6 + 7.7 + 4.3 = 142.5 GW; 142.5 ÷ 345.9 GW = 41.2%. Under construction: 28.7 GW (20.1%); planned but not yet started: 113.8 GW (79.9%). Texas: 93.1 ÷ 345.9 = 26.9%, or 2.9 times Virginia's 31.6 GW, the second-largest state. By project count, 505 ÷ 1,599 = 31.6%; average capacity per project is 0.28 GW in the five states versus 0.22 GW nationwide.
November 6 recoverySOX: (9,390.25 − 9,011.14) ÷ (10,268.65 − 9,011.14) = 30.1%. Micron: 24.2%; Nvidia: 27.2%; CoreWeave: 57.6%, calculated the same way against the November 5 point losses. The SOX remains −11.4% versus the November 3 close.
Map circlesCircle area is proportional to GW; radius is scaled to the square root of capacity.
Forward P/E measurement dateDaishin's levels imply 4,922 points × 3.77 ÷ 3.447 ≈ 5,383 points, consistent with the November 5 close. Thus 3.77× refers to November 5; mechanically marking the multiple to the November 6 close gives about 3.5×.
Mechanical recalculation of memory-chip P/BSamsung Electronics: 1.21× × (1 − 6.35%) ≈ 1.13×; SK hynix: 1.23× × (1 − 10.44%) ≈ 1.10×. Only the November 6 share-price moves are incorporated.
KOSPI distancesTwo-session move: 5,059.69 ÷ 5,683.80 − 1 = −10.98%. Distance from each reference level: level ÷ 5,059.69 (Nov. 6 close) − 1. From the June peak: 5,059.69 ÷ 9,114 − 1 = −44.5%; Eugene reported −41% as of the Nov. 5 close.
VIX statisticsEugene's sample (June 1990–June 2026; one-day VIX increases above 30%): 43 of the 48 observations with available returns were positive after 250 trading days (90%); since the global financial crisis, 34 of 36 were positive (94%). One-year losses occurred after Sept. 17, 2001 (−14.3%); Feb. 27, 2007 (−1.9%); Sept. 29, 2008 (−5.6%); June 29, 2015 (−1.0%); and Nov. 26, 2021 (−14.1%).
Historical comparison: Technology investment as a share of GDP
| Investment wave | Period | Average annual investment/GDP | Peak |
|---|---|---|---|
| Canals | 1836~41 | 0.66% | 0.9%(1840) |
| Railroads | 1870~90 | 2.24% | 4%(1870·1881) |
| Electricity | 1905~25 | 0.5% | 0.96%(1924) |
| Highways | 1956~73 | 1.13% | 1.32%(1958) |
| Telecommunications and internet | 1996~2003 | 1.1% | 1.39%(2000) |
| AI (projected) | 2025~32 | 3.63% | 5.1%(2032) |
Sources: Brookings Institution paper (Sept. 2026), as cited by Eugene Investment & Securities. AI figures are forecasts. Eugene argues that the unprecedented scale of AI investment relative to past technology waves has heightened concern about growth dependent on AI spending.5
Differences across sources and measurement dates
| Metric | Figures reported by sources | Figure used here |
|---|---|---|
| SOX, Nov. 5 | Eugene −12.2%; Kiwoom text −12.3%, table −12.25% (6:30 a.m. KST); Hankook Ilbo −12.5% | −12.2% (Eugene) |
| Foreign net selling, Nov. 5 | Daishin (post-close) ₩3.4242tn; Daum Finance investor-flow table ₩3.3741tn44 | Approximately ₩3.4tn |
| Foreign net selling, Nov. 6 | Digital Daily and Top Star News ₩2.7692tn; Seople ₩2.7443tn; Daum Finance ₩2.6892tn44, 45 | Approximately ₩2.8tn; more than ₩6tn over two days |
| Five-state list | Eugene: Texas, Georgia, Ohio, Nevada and Iowa (Republican-to-Democratic gubernatorial flips). SK Securities' campaign-pledge table: Texas, Georgia, Ohio, Wisconsin and Nevada (key pledges). One passage in Eugene's narrative says “Michigan,” differing from its own table. | The map follows Eugene's table; pledges follow state-level sources. |
| Timeline for Texas | SK Securities' campaign table: “request for suspension of new construction since July 2026.” State and law-firm sources: Aug. 3 grid-interconnection audit order (ERCOT pauses review schedule); Sept. 21 environmental permit issuance halted; new governor inaugurated Jan. 19, 2027. | State and law-firm sources take precedence.21, 22 |
| Scope of Texas governor-elect's comments | Some coverage (Yahoo Finance and research notes) attributes a statement that “already permitted projects may be completed” to a Nov. 5 CNN interview. The Reuters account of that same interview does not include it. A pre-election interview (reported Nov. 1) said the moratorium applied to new permits and would not stop projects already under construction.12, 27, 38 | Confirmed only for projects already under construction; treatment of permitted but unstarted projects remains unverified. |
| KOSPI forward P/E | Daishin 3.77× (Nov. 5 close); Kiwoom 3.98× (Nov. 4 close) | 3.77× (Nov. 5) |
| Sector moves, Nov. 5 | Kiwoom's narrative reports nonferrous metals and timber +7.2%, healthcare +5.7% and software +5.6%; a chart in the same report shows nonferrous metals and timber +6.1%, IT software +4.4% and media/education +4.3%. The difference appears related to sector definitions. | Narrative figures |
| U.S. 2-year yield, Nov. 5 | Kiwoom fixed income/FX daily −12.48 bp (closing basis); Kiwoom market table −11.9 bp (6:30 a.m. KST) | −12.5 bp (close) |
| Planned capacity overlapping gubernatorial changes | Eugene 41.2% (five Republican-to-Democratic governor flips; announced capacity under construction or planned). Goldman Sachs approximately 45% (governors-elect pledging construction halts or suspensions, as reported by Yahoo Finance).12 Both measure geographic exposure, not the probability of cancellation. | 41.2% (Eugene) |
| Nov. 6 U.S. rebound | Intraday reporting: SOX +4% to +4.6%; Nvidia +5.6% to +6%. Closing figures: SOX +4.21%, Nvidia +2.78%. Gains faded by the close.7, 12 | Closing prices (Yahoo Finance) |
| CoreWeave CDS | Eugene: 1,264 basis points (five-year; observation date not specified) | Based on Eugene's Nov. 6 report |
| Foreign semiconductor flows | Yuanta's 200-stock research universe (as of Nov. 5) | May differ from exchange-wide market figures |
| Local ballot measures | Ballotpedia: 40 of 41 measures favored restrictions. Of these, 20 binding prohibitions or moratoriums passed; nine were nonbinding expressions of opinion (two opposition statements and seven failed endorsement measures). | Distinguish the 40 restriction-favoring outcomes from the 20 binding bans or moratoriums. |
Data cutoff: South Korean close on November 6, 2026, and U.S. close on November 6 (6 a.m. KST November 7). U.S. November 6 figures use Yahoo Finance closing data. Brokerage notes published November 5–6 did not incorporate the November 6 U.S. session.
Glossary
- Blue wave
- A term for strong Democratic gains in congressional and gubernatorial elections; blue is the party's traditional color.
- Sell-side program-trading curb (sidecar)
- A Korean market safeguard that halts program sell-order quotations for five minutes when KOSPI 200 futures fall more than 5% for one minute. KOSDAQ uses thresholds of 6% for KOSDAQ 150 futures and 3% for the underlying cash index.
- Circuit breaker (Level 1)
- A 20-minute market-wide trading halt if the index falls more than 8% from the previous close for at least one minute.
- Hyperscaler
- A cloud technology company that builds and operates data centers at very large scale, such as Microsoft, Amazon, Alphabet and Meta.
- Neocloud
- A newer cloud provider specializing in GPU capacity for AI workloads. CoreWeave is a prominent example.
- Credit default swap (CDS)
- A market contract used to insure against default on a borrower's debt. Higher spreads, quoted in basis points (1 bp = 0.01 percentage point), generally imply higher perceived credit risk.
- Moratorium
- A temporary suspension of new permits or construction.
- Earnings guidance
- A company's own forecasts for next-quarter or next-year sales and earnings.
- Consensus estimates
- Aggregated earnings forecasts from sell-side analysts.
- Under construction or planned
- The DCMap sum of projects under construction and those still in the planning stage. “Planned” includes announced, filed, approved or permitted projects that have not begun construction. Some have already secured permits.
- Cloture
- A U.S. Senate procedure to end debate and advance a measure to a vote. The relevant threshold here is 60 votes.
- California Environmental Quality Act (CEQA) review
- Environmental review of development proposals under California's CEQA. Loss of an exemption may increase review time and cost.
- ERCOT
- The independent operator of most of Texas's electric grid; it reviews interconnection of large electricity loads.
- Public utility commission (PUC/PSC)
- A state regulator responsible for electric rates and allocation of utility costs.
- Forward P/E and P/B
- Valuation multiples using projected earnings and book value over the coming 12 months, respectively, as described in the source report.
- VIX
- A gauge of expected S&P 500 volatility over the next 30 days derived from options prices, widely known as Wall Street's “fear gauge.”
Sources
Data cutoff: South Korean close on November 6, 2026, and U.S. close on November 6 (6 a.m. KST November 7). U.S. November 6 figures use Yahoo Finance closing data. Brokerage notes published November 5–6 did not incorporate the November 6 U.S. session.
- IBK Securities Research Division, “Market Comment” (daily), Nov. 5, 2026. U.S. and Korean index returns for Nov. 4 (Dow +3.03%, S&P 500 +1.58%, SOX −3.13%); KOSPI investor flows (foreigners net −₩2.4528tn, including SK hynix −₩1.2338tn).
- Kiwoom Securities, “A Blue Wave Triggers Divergent Stock Performance as Markets Reprice Policy Expectations” (KIWOOM DAILY), Nov. 5, 2026. U.S. moves on Nov. 4: Microsoft +6.7%, Amazon +6.1%, Micron −7.0%, Nvidia −3.2%, CoreWeave −9.9%; expectations of improved hyperscaler free cash flow versus pressure on memory and power-equipment companies; limited disruption to ongoing projects.
- Daishin Securities, “Contingency Plan: Aftershocks of the U.S. Midterms and KOSPI/KOSDAQ Sell-Side Trading Curbs,” Nov. 5, 2026 (post-close). KOSPI 5,383.80 (−5.28%); retail +₩2.2733tn, foreigners −₩3.4242tn, institutions +₩844.5bn; Samsung Electronics −7.6%, SK hynix −9.5%; pharmaceuticals, biotech and treasury-share cancellations.
- Korea Exchange (KIND) market-action disclosures: KOSPI sell-side program-trading curb triggered Nov. 5, 2026 at 10:16 a.m. and Nov. 6 at 9:34 a.m.; KOSPI trading resumed following a circuit breaker at 9:23 a.m. on Nov. 6; KOSDAQ program sell-order curbs imposed Nov. 6 at 9:06 a.m.https://kind.krx.co.kr
- Eugene Investment & Securities, “Spot: Equity Selloff After the U.S. Midterms” (Spot Comment), Nov. 6, 2026. Five-state data center table on p. 1 (DCMap October 2026 update); Nov. 5 U.S. indexes; five-year CoreWeave and Oracle CDS (Refinitiv); Bloomberg VIX daily spikes above 30%; Brookings technology-investment comparisons; KOSPI −41% from June peak of 9,114 points as of Nov. 5 and a 50% drawdown rule of thumb.
- Digital Daily, “KOSPI Barely Holds 5,000 After 11% Drop in Two Days as Foreigners Sell ₩6tn,” Nov. 6, 2026. Circuit breaker at 9:03 a.m.; foreign net selling ₩2.7692tn; Samsung Electronics ₩188,700; SK hynix ₩1,132,000.https://www.ddaily.co.kr/page/view/2026110615524945049
- Yahoo Finance price data, U.S. Nov. 6, 2026 closing prices: SOX 9,390.25 (+4.21%), Micron +5.12%, Nvidia +2.78%, AMD +11.04%, CoreWeave +6.28%, Microsoft −0.99%, Amazon −0.35%, S&P 500 7,376.86 (+0.31%), Nasdaq +1.09%, Dow −0.46%, VIX 25.58.https://finance.yahoo.com/quote/%5ESOX/
- IBK Securities, Global Strategy, “Changes Set in Motion by the Midterm Results,” Nov. 5, 2026. Democratic control of both chambers; Senate below 60 votes and presidential veto power; likely shift toward cost allocation (417–3 House vote precedent); state-level risks and Texas outlook; Nov. 4 winners and losers.
- SK Securities, “The Age of Vetoes: Policy Speed and the Cost of Investment” (Macro Comment), Nov. 5, 2026. Gubernatorial change versus construction halts, routes from cost-allocation rules to profitability, key gubernatorial campaign pledges on p. 4, and jurisdiction guide covering governors, utility commissions and counties.
- Kiwoom Securities, “AI Panic Selling Driven by Fears of a Shrinking Investment Cycle” (KIWOOM DAILY), Nov. 6, 2026. Nov. 5 U.S. stocks (Qualcomm −9.5%, Micron −17.5%); of foreigners' roughly ₩3.4tn in net selling, semiconductors accounted for ₩2.7tn; contribution to KOSPI decline (chips about −4.6 pp, others −0.7 pp); sector moves; 2027 versus 2028 regulatory exposure and two indicators to watch. Index and stock prices are as of 6:30 a.m. KST.
- Kiwoom Securities, “KIWOOM FICC DAILY,” Nov. 6, 2026. South Korean 10-year government bond yield 3.875% (−7.5 bp) on Nov. 5; U.S. two-year yield −12.48 bp; December Fed hold probability 31.6%.
- Yahoo Finance, “Stock market today: Nasdaq and S&P 500 rebound, Dow slips to cap bruising week for AI stocks,” live coverage, Nov. 6, 2026 (U.S.). October jobs gain of 165,000; Goldman Sachs estimate and Yardeni Research client-note commentary.finance.yahoo.com
- Seoul Economic Daily, “Micron Halts Taiwan Fab Construction Over Bonus Talks,” Nov. 6, 2026. Cites Bloomberg reporting from Nov. 5 on the Taoyuan Fab 11E project and Micron's response.https://en.sedaily.com/international/2026/11/06/micron-halts-taiwan-fab-construction-over-bonus-talks
- Financial News (Korea), “Chip Stocks Plunge, Dragging KOSPI Down More Than 4% as Sell-Side Trading Curb Triggers,” Nov. 5, 2026. KOSPI 200 futures −5.21%.https://www.fnnews.com/news/202611051032557405
- NewsPim, “KOSDAQ Drops More Than 5%, Triggering Sell-Side Trading Curb as Index Breaks Below 680,” Nov. 5, 2026. KOSDAQ curb at 2:27 p.m.https://www.newspim.com/news/view/20261105001088
- Top Star News, “KOSPI Ends 6.02% Lower at 5,059.69; Foreigners Sell ₩2.77tn,” Nov. 6, 2026. Intraday low of 4,911.28; investor flows; 131 gainers and 760 decliners; KOSDAQ 644.27.https://www.topstarnews.net/news/articleView.html?idxno=16270053
- Hankook Ilbo, “Foreigners Dump ₩8.2tn in Samsung and SK hynix: How Far Will Chip Selling Go?” Nov. 6, 2026. Foreign net selling on Nov. 6: SK hynix −₩1.8227tn and Samsung Electronics −₩94.8bn; semiconductor foreign ownership of 46.6%, attributed to Eugene Investment & Securities.https://www.hankookilbo.com/news/article/A2026110614150004204
- Yuanta Securities, “Quant Weekly Evaluation Report: Q3 Earnings-Season Screening Strategy, First Week of November,” Nov. 6, 2026. Page 4 sector flows (200-stock universe through Nov. 5: foreign net sales in semiconductors/equipment: one week −₩5.6152tn, one month −₩17.5485tn, three months −₩39.7906tn; institutional net buying over one week +₩824bn). Page 8: weekly style excess returns.
- DCMap, “Methodology.” “Planned” includes projects with announcements, applications, approvals or permits that have not yet begun construction; totals aggregate announced or reported project size.https://dcmap.us/methodology
- Hana Securities, “Semiconductors: Excessive Fears About Data Center Regulation” (Issue Comment), Nov. 6, 2026. Texas, Georgia and Ohio exposure; limited uncertainty for projects under construction or fully permitted; Samsung Electronics and SK hynix 12-month forward P/B of 1.21× and 1.23× as of Nov. 5; Overweight rating on semiconductors.
- Holland & Knight, legal analysis of the Texas governor's data center audit directive and ERCOT's interconnection-review suspension, August 2026 (order issued Aug. 3).hklaw.com
- Texas Governor's Office press release, Sept. 21, 2026. Directive to TCEQ to halt data center environmental permit issuance until the ERCOT audit is complete; suspension of approval work by other state agencies; cites Sept. 14 directive to the Texas Water Development Board on water-use reporting.gov.texas.gov
- Utility Dive, “ERCOT aims to complete Texas governor's data center audit by December,” Aug. 21, 2026. Target report submission on Dec. 10; 17 large-load projects that passed reliability studies still awaiting final service authorization.https://www.utilitydive.com/news/ercot-texas-puc-data-center-audit/828472/
- The Texas Tribune, article on Texas data center permitting holds and the governor-elect's policies, Nov. 4, 2026. Incumbent's approval hold, governor-elect's pledges and Jan. 19 inauguration.texastribune.org
- Ohio Capital Journal, 「All candidates for Ohio governor have now called for restrictions on data center boom」, 2026.08. https://ohiocapitaljournal.com/?p=40876
- The Atlanta Journal-Constitution, comparison of Georgia gubernatorial candidates' data center positions, September 2026.ajc.com
- KTAB/KRBC, “Big Country Politics,” interview with Texas gubernatorial candidate (republished by Yahoo News, Nov. 1, 2026): moratorium on new permits but not projects already under construction. Summary of reporting, not a verbatim quotation.yahoo.com
- Ohio Capital Journal, “Candidates highlight data center plans; next Ohio governor will select regulators,” Aug. 12, 2026. Appointment of PUCO commissioners.https://ohiocapitaljournal.com/2026/08/12/candidates-highlight-data-center-plans-next-ohio-governor-will-select-regulators/
- mGrid, “House Passes 100 MW Data Center Cost Bill, Leaving Final Rate Decisions to States,” Nov. 5, 2026. H.R. 9340, PURPA large-load standard and lack of Senate action.https://mgrid.org/2026/11/05/house-passes-100-mw-data-center-cost-bill-leaving-final-rate-decisions-to-states
- Environment+Energy Leader, “Ratepayer Protection Act Falls Three Votes Short in Senate,” Oct. 1, 2026. Sept. 30 cloture vote, 57–43; opponents sought mandatory requirements.environmentenergyleader.com
- Holland & Knight, “California's 2026 Data Center Laws: What You Need to Know,” Oct. 5, 2026. SB 887 removes a categorical environmental review exemption Jan. 1, 2027; SB 886 addresses new transmission-interconnection contracts from Jan. 1, 2027 and rate standards from Jan. 1, 2028; AB 2383 generation-related rate standards by Jan. 1, 2028; AB 2469 water assessment from Jan. 1, 2027 and water-shortage planning from Jan. 1, 2028.https://www.hklaw.com/en/insights/publications/2026/10/californias-2026-data-center-laws-what-you-need-to-know
- Holland & Knight, “Virginia's New Data Center Accountability Framework: What You Need to Know,” Sept. 21, 2026. Executive Order 22 dated Sept. 18: sites ≥25 MW excluded from site-readiness support and expedited processing; rate structures, cooling-water-stressed areas, restrictions on nondisclosure agreements and proposed 2027 legislation.https://www.hklaw.com/en/insights/publications/2026/09/virginias-new-data-center-accountability-framework
- Ballotpedia News, 「Voters favored limiting data center development in 40 of 41 local ballot measures on Nov. 3」, 2026.11.06. news.ballotpedia.org
- CBS News, “House passes bill to shield Americans from data center energy costs,” Sept. 16, 2026. Bipartisan 417–3 vote.https://www.cbsnews.com/news/house-bill-data-center-energy-costs/
- Kiwoom Securities, “Adjusting AI Investment Expectations; Focus on Inflation and the Fed” (Weekly Economics), Nov. 6, 2026. Data center policy issues (allocation of electricity and environmental costs) and coming week's calendar (U.S. October CPI consensus +0.3% month on month; PPI +0.4%; Fed speakers).
- GovInfo, text of H.R. 9340 as passed by the House. Applies to large electricity loads of 100 MW or more; state regulators must begin considering the standard within one year of enactment and decide within two; exemptions for states with comparable rules.https://www.govinfo.gov/content/pkg/BILLS-119hr9340eh/html/BILLS-119hr9340eh.htm
- Utility Dive, “California tightens oversight of data center energy use, grid costs,” Sept. 21, 2026. Seven laws addressing grid expansion and generation costs, water assessments and energy-use reporting.https://www.utilitydive.com/news/california-tightens-oversight-of-data-center-energy-use-grid-costs/831037/
- Investing.com/Reuters, “Texas governor-elect says state will have laws to shield citizens from data centers,” Nov. 5, 2026 (U.S.). Cites CNN interview.investing.com
- Daishin Securities, “Contingency Plan: After the Blue Wave, Where Could Markets Find a Reversal?” (Next Week's Market), Nov. 6, 2026. KOSPI 12-month forward P/E of 3.77×; 1× forward P/B at 5,330 points; 3.447× forward P/E (two standard deviations below the average since the start of 2026) at 4,922 points; CoreWeave earnings checklist, Big Tech bond offerings, possibility of construction ahead of legislation and recommendation to add semiconductor exposure.
- Investing.com/Reuters, “Microsoft tightens oversight of neocloud data center projects, Bloomberg News reports,” Nov. 5, 2026 (U.S.). Closer supervision of projects by Nebius, IREN and Nscale; exiting risky projects; preference for building its own data centers.investing.com
- U.S. Bureau of Labor Statistics, “Schedule for Consumer Price Index.” October 2026 CPI release scheduled for Nov. 10 at 8:30 a.m. ET.https://www.bls.gov/schedule/news_release/cpi.htm
- CoreWeave, “CoreWeave Announces Date of Third Quarter 2026 Financial Results and Conference Call,” Oct. 27, 2026. Conference call on Nov. 10 at 5 p.m. ET.investors.coreweave.com
- NVIDIA, 「NVIDIA Sets Conference Call for Third-Quarter Financial Results」, 2026.10.28(11.17 14:00 PT). nvidianews.nvidia.com
- Daum Finance, daily KOSPI trading flows by investor category.https://finance.daum.net/domestic/investors
- Seople, “KOSPI Closes at 5,059.69 After Circuit Breakers and Trading Curbs; Did Pension Funds Step In?” Nov. 6, 2026. Foreign net selling of ₩2.7443tn and other estimates available at the time of publication.https://supple.kr/news/cmw4q4vvrnh47al9p0x5r1j6p