Sunlight for a Day, Wind Across the Forest

DAILY MARKET NOTE / 22 OCT 2026

The One-Day Rebound Vanishes;
The Selloff Spreads

KOSPI -3.52% to 5,533.77, surrendering all 182.92 points gained on Oct. 21 and finishing below the Oct. 20 close. It briefly turned positive around 9:45 a.m., but failed to hold; by around 2:45 p.m. it had slipped below the Oct. 20 intraday low (5,493.24). KOSDAQ -3.62% to 764.10.Lam Research and Tesla fell in U.S. after-hours trading following earnings, while Meta's results exposed both its expanding AI investment and the strain on cash flow. Meanwhile, Middle East tensions lifted oil prices and semiconductor shares in Japan and Taiwan also weakened (according to news reports).Losses extended beyond semiconductors to equipment, batteries and biotech, leaving 79% of stocks across both markets lower. SK hynix -5.49% ; Samsung Electronics -4.03% . Samsung E&A jumped on earnings and a share buyback, +16.14%Institutions sold a net KRW 462 billion, according to KRX data. Foreign investors were modest net buyers on the KOSPI but net sellers on the KOSDAQ. Several pressures converged; no single catalyst can credibly explain the entire decline (our interpretation).

One day of recovery, one day of losses. This time, selling spread well beyond semiconductors.

MARKET PATH / 01

From a Fleeting +0.08% to a -3.52% close

Where the market briefly recovered—and where it turned

THE PLAIN-ENGLISH VERSIONThe KOSPI opened more than 1% lower, briefly climbed above the previous close in the morning, then gave up the gain and continued sliding into late afternoon. It recovered slightly from the session low just before the close.

KOSPI · 09:00~15:30Opened at 5,670.11 → session high around 9:45 a.m. → near 5,600 during the 11 a.m. hour → near 5,570 around 1 p.m. → session low around 2:45 p.m. → closed at 5,533.77.

OPEN5,670.11-1.14%

HIGH5,740.28+0.08%

LOW5,485.98-4.35%

CLOSE5,533.77-3.52%

THE READ

The opening price first reflected U.S. post-market earnings reactions and early Asian sentiment. Around 9:45 a.m. was the only period in which the index exceeded the previous close. Brief rebounds followed subsequent troughs—including near 12:25 and 2:45 p.m.—but the morning high was never regained, and afternoon lows kept falling (our interpretation).The KOSPI gave back all of Oct. 21's gains in one session, breaking below Oct. 20's intraday low of 5,493.24 around 2:45 p.m. It finished 18.97 points below the Oct. 20 close. The two-day rebound had disappeared.Fewer than half as many stocks advanced as on Oct. 21, and the KOSDAQ fell more sharply than the KOSPI. The previous day's rally had concentrated in large semiconductor names; today's losses reached equipment, batteries and biotech. Turnover was 0.70 times the five-session average on the KOSPI but 1.19 times on the KOSDAQ—so this was not uniformly a low-volume decline (our interpretation).

OPEN · MORNING

-1.14% at the open; briefly turned positive around 9:45 a.m.

Opened at 5,670.11; 5,696.74 at 9:04 a.m. (reported); near 5,720 around 9:10; slipped back toward 5,670 around 9:30.The session high of 5,740.28 around 9:45 a.m. exceeded the prior close of 5,735.66. Selling resumed after 10 a.m., taking the index toward 5,630 around 10:40.

MIDDAY

Near 5,600 in the 11 a.m. hour; around 5,570 by 1 p.m.

5,604.25 at 11:17 a.m. (reported); near 5,610 around 11:45; near 5,590 around 12:15.A brief recovery toward 5,610 around 12:25, followed by a slide to about 5,570 around 12:40 and still near 5,570 by 1 p.m.

AFTERNOON

New low around 2:45 p.m.; recovered to the 5,530 area late

5,539.72 at 1:25 p.m. (reported); near 5,520 around 2:10; low of 5,485.98 around 2:45, below the Oct. 20 intraday low of 5,493.24; back near 5,530 after 3 p.m. Closed at 5,533.77, or 47.79 points above its low.The KOSDAQ opened at 789.84 (-0.37%), reached 791.24 but never traded above the prior close, hit 761.56 and ended at 764.10. KOSPI turnover was KRW 13.7003 trillion, 0.70 times its preceding five-session average; KOSDAQ turnover was KRW 6.4082 trillion, or 1.19 times.

The line traces the KOSPI's five-minute intraday chart, with the horizontal axis corresponding to actual times. Only open, high, low and close are confirmed index values; high and low times are based on five-minute bars. Values at 9:04 a.m., 11:17 a.m. and 1:25 p.m. come from news reports. Other stretches are described only to the nearest chart line. The upper dashed line marks the prior close (5,735.66); the lower one marks the Oct. 20 close (5,552.74).

WHY / 02

Mixed AI Earnings Reactions, Oil Above $110 and Weakness Across Asian Chip Stocks

What changed within a single day?

THE PLAIN-ENGLISH VERSIONAfter the U.S. close, Lam Research and Tesla fell in extended trading following earnings. Meta committed to more AI investment even as spending exceeded operating cash generation. At the same time, Middle East tensions pushed oil higher and U.S. equity futures lower. Semiconductor shares in Japan and Taiwan also declined, making this more than a Korea-specific selloff.

Three post-close earnings releases—and the market's reaction mattered more than the headlines

The sequence: In regular U.S. trading on Oct. 21, the +1.97% (11,505.56) and the Nasdaq +1.05%. Earnings were released after the close, and reactions in diverged (reported).

Earnings released after the Oct. 21 U.S. close · Company reports and reported after-hours moves
Company	Key disclosure	After hours
Lam Research	Revenue of $8.22 billion (+54%); next-quarter revenue projected to rise to $8.6 billion	-6.8%
Tesla	2026 capital spending guidance cut from over $25 billion to about $20 billion	-3.5%
Meta	Revenue of $64.6 billion (+26%); free cash flow of −$2.12bn	+2.9%

How to read this (our interpretation): Lam fell despite record sales and a forecast for further growth, suggesting elevated expectations were difficult to satisfy. Tesla's capital spending encompasses AI computing, robotics, factories and charging infrastructure; a guidance reduction does not, by itself, prove fewer battery orders. Meta's increased AI spending supports the demand outlook for chips, but capital outlays exceeded cash generated from operations, leaving negative.The Korean connection: Equipment makers, battery stocks and large chip companies all weakened the same day, according to reports. That establishes co-movement, not how much each catalyst contributed to their losses (our interpretation). Shinhan Securities analyst Kang Jin-hyuk said Meta's move into negative FCF limited the market's rebound (reported).Even good news could not hold: At GTC Berlin on the evening of Oct. 21 KST, Nvidia announced a strategic partnership with Samsung Electro-Mechanics on AI semiconductor substrates. Samsung Electro-Mechanics rose as much as +5.65% in early trading but closed -1.97% (reported).

-6.8%Lam Research after hours · Shares fell despite record sales and a growth outlook

VIEW SUPPORTING DATA

Meta (company filing): Operating cash flow of $32.786 billion, less $33.942 billion in property and equipment purchases and $964 million in finance-lease principal payments, yielded FCF of −$2.12bn . Meta raised only the lower end of its 2026 capital-spending outlook, from $130–145 billion to $135–145 billion; Q4 revenue guidance was $73–76 billion. The stock was briefly up more than 4% after hours before settling near +2.86%(TradingKey)

Lam Research: Adjusted EPS of $2.20; next-quarter adjusted EPS guidance of $2.33. After-hours move of -6.8% (GuruFocus). Bloomberg reported -7.4% and described guidance as softer than expected; GuruFocus said it modestly beat expectations. The assessments differed.

Tesla: Revenue of $28.05 billion; adjusted EPS of $0.48 against a $0.44 estimate; Q3 capex of $4.73 billion versus a $7.95 billion estimate. After-hours move of -3.5% at 7:23 p.m. local time (NewsPim). Edaily linked Tesla's results to losses in Korean battery makers LG Energy Solution and Samsung SDI, but an actual decline in battery orders was not established.

Regular U.S. session, Oct. 21: Dow +0.69% · S&P500 +0.58% ; Nasdaq +1.05% ; Philadelphia Semiconductor Index +1.97% (Snowshagal data). The U.S. 10-year Treasury yield was 5.13%, little changed from Oct. 20's 5.12% (U.S. Treasury daily release).

Profit-taking was another explanation cited after the KOSPI's 3.29% surge on Oct. 21 (Kiwoom Securities' Han Ji-young, via The Korea Economic Daily).

Brent Above $110, U.S. Futures Lower and Asian Chip Stocks Falling Too

Oil: Following an attack on Saudi oil facilities and a U.S. State Department order to withdraw nonessential staff from Saudi Arabia, Brent crude rose above $110 a barrel (up around +1.3% at roughly 10 a.m. KST, Bloomberg). An AP report updated after Korea's close put Brent at $112.27 (+3.2%), a different observation time. Later, Iran's Revolutionary Guards claimed fires aboard seven vessels in the Gulf (SBS, 3:08 p.m.).U.S. futures: S&P 500 futures -0.5% around 10:05 a.m. KST; Nasdaq-100 futures -0.7% (Bloomberg).Asia: Nikkei 225 -2.65% ; Taiwan's TAIEX -1.81% ; Shanghai Composite -1.48% ; Hang Seng -3.02% (intraday readings around 4:45 p.m. KST, Etoday). Japan's Tokyo Electron -7% and Advantest -6% (AP). Taiwan's TSMC -1.45% and MediaTek -3.14%(UDN⁠·⁠ETtoday)Evidence and limits: We cannot isolate the effect of oil or futures on the size of the KOSPI decline. Japanese chip-equipment stocks also fell, so the semiconductor selloff was not unique to Korea (our interpretation).

-2.65%Nikkei 225 · Japanese semiconductor-equipment shares also plunged that day

VIEW SUPPORTING DATA

Bloomberg (around 10 a.m. KST): Brent +1.3% to above $110; WTI +1.1% to $98.23. The U.S. ordered nonessential staff out of Saudi Arabia amid Houthi threats from Yemen. U.S. media reports about possible renewed U.S.-Israeli strikes on Iran were also cited.

AP (updated after Korea's close): S&P 500 futures -1% ; Iranian state TV claims that seven tankers in the Strait of Hormuz were damaged had not been independently verified.

Iranian Revolutionary Guard naval statement (via SBS): It claimed strikes on four vessels allegedly engaged in illegal oil transfers in the northern Persian Gulf, and said three vessels struck mines west of the Strait of Hormuz the previous night.

Other developments: The Bank of Korea unanimously held its base rate at 3.00%, as expected, after consecutive hikes in July and August. Markets were focused on the possibility of a further move in November (AsiaToday); the decision was not cited as a driver of the index's direction. KB Securities' Lee Eun-taek identified memory-chip and inflation concerns as recent market pressures (Etoday).

MONEY / 03

Institutions Sold as Retail Bought;
Foreign Buying Slowed to One-Tenth of the Previous Day's Pace

Who drove today's market flows?

THE PLAIN-ENGLISH VERSIONInstitutions sold large semiconductor and battery stocks, with retail investors taking the other side. Foreign investors bought modestly on the KOSPI—only about one-tenth of their Oct. 21 purchases—but were net sellers on the KOSDAQ. KOSPI turnover ran roughly 30% below its recent five-session average, and buying demand failed to arrest the decline.

Institutions · KOSPI cash equities · KRX data captured at 3:38 p.m.

−KRW 462bn

Oct. 21: −KRW 72bn; net selling accelerated. KOSPI 200 futures also showed −KRW 150bn Approximately +KRW 21bn (our calculation), sharply down from KRW 543–637 billion per day over Oct. 19–21. A security-level breakdown is unavailable, so we cannot determine which stocks account for the decline.Futures: Foreign investors in futures +KRW 314bn (identical KRX readings at 3:49 and 4:14 p.m.). Some closing reports instead showed −KRW 64.2bn, the opposite direction. The downloaded figures did not identify the product or contract scope, leaving the discrepancy unresolved. Foreign futures buying could also reflect arbitrage or hedging rather than a straightforward bullish bet (our interpretation).

Net purchases by investor group · KRX data at 3:38 p.m. · KRW 100 million
Investor	KOSPI	KOSDAQ	Both
Foreign	+610	-1,200	-590
Inst.	-4,620	-1,000	-5,620
Retail	+3,800	+2,200	+6,000

Foreign net buying on the KOSPI was about one-tenth of Oct. 21's +KRW 660bn. Foreign and institutional investors were both net sellers on the KOSDAQ, leaving foreign investors net sellers across the two markets combined. Some outlets also reported foreign net selling on the KOSPI, so the different published totals are shown side by side below.

Net purchases by stock · Snowshagal's 3:51 p.m. capture · Regular session · KRW 100 million
Stock	Foreign	Inst.	Retail
SK hynix	+446	-2,625	+2,074
Samsung Electronics	-1,262	-879	+2,116
Samsung SDI	-453	-604	+1,062
Samsung E&A	+1,281	+881	-2,150

The three biggest institutional net-selling positions were also the three largest retail net-buying positions: SK hynix, Samsung Electronics and Samsung SDI. Samsung E&A ranked first for both foreign and institutional net buying and first for retail net selling.

KOSPI net buyersRetail · Foreign

KOSPI net sellersInstitutional

FLOW BREAKDOWN

KOSPI investor totals · Comparison across data sources · KRW 100 million
Source	Foreign	Inst.	Retail
The Korea Economic Daily9:04 a.m. report	+1,731	-700	-1,041
Jeonnam Ilbo (Yonhap)11:17 a.m. report	+470	-1,400	+830
Edaily11:30 a.m. report	+470	-1,589	+1,033
Financial News1:25 p.m. report	-2,315	-1,308	+3,486
KRX3:38 p.m., Snowshagal capture	+610	-4,620	+3,800
Financial News3:47 p.m.	+592	-4,621	+3,802
Block Media3:49 p.m.	+614	-4,621	+3,802
NewsPim4:04 p.m.	-3,991	-6,834	+10,364
Etoday4:06 p.m.	-614	-4,627	+3,808

Our foreign total includes the KRX "other foreign investors" category. Even post-close news reports disagreed on the direction of foreign flows: Financial News and Block Media reported net buying, while Etoday and NewsPim reported net selling. NewsPim showed retail purchases of +KRW 1.0364tn, far above other totals, suggesting a different market scope; the article did not identify its coverage. The four intraday news reports provide cumulative totals at those times, not a trade-by-trade record of activity between them.
Institutional flows at 1:25 p.m.: Securities and investment firms −KRW 297.6bn ; pension funds and others +KRW 127bn (Financial News). Our closing data capture does not include an institutional subcategory breakdown.
Other Corporations estimate: All investor categories' net purchases must sum to zero. Therefore, the opposite of the combined foreign, institutional and retail figure (−KRW 21bn) gives the residual. Data rounded to KRW 1 billion can leave discrepancies of several billion won. Oct. 19: +KRW 549bn ; Oct. 20: +KRW 637bn ; Oct. 21: +KRW 543bn (same methodology).

Cross-check · KOSPI plus KOSDAQ · KRW 100 million
Total	Foreign	Inst.	Retail
Sum of stock-level data3:51 p.m.	-636	-5,657	+6,063
Sum of investor totals3:38 p.m.	-590	-5,620	+6,000

SK hynix: Combined foreign, institutional and retail flows amounted to −KRW 10.5bn, implying about KRW 10.5 billion in net buying by the remaining categories, including Other Corporations. The roughly KRW 600 billion per day recorded over Oct. 19–21 had dropped sharply (our calculation; individual-category figures unavailable). SK hynix's disclosed buyback window runs through Nov. 19.
Other leading stocks, regular-session 3:51 p.m. capture: Foreign net buyers ranked third to fifth were LIG Defense & Aerospace +KRW 33.6bn ; Hyundai Motor +KRW 21.7bn · S-Oil +KRW 20.4bn ; third to fifth foreign net sellers were EcoPro BM −KRW 30.2bn ; Daeduck Electronics −KRW 28.9bn ; Samsung Electro-Mechanics −KRW 24.7bn ; fourth to sixth institutional net sellers were Samsung Electro-Mechanics −KRW 48.7bn · S-Oil −KRW 25.6bn ; Jusung Engineering −KRW 24.7bn ; fourth and fifth retail net buyers were Samsung Electro-Mechanics +KRW 77.5bn ; Jusung Engineering +KRW 44.4bn

Futures and program trading · KRW 100 million
Category	Oct. 22	Oct. 21
ForeignKOSPI 200 futures	+3,140	-8,170
InstitutionalKOSPI 200 futures	-1,500	+3,520
RetailKOSPI 200 futures	-930	+3,310
Program	-62	-1,538
Non-arbitrageProgram	-2,923	+8,731
TotalProgram	-2,985	+7,193

Program-trading figures are regular-session closing totals (3:36 p.m. on Oct. 22). At the original won-level precision: arbitrage −KRW 6,241,570,000 ; non-arbitrage −KRW 292,267,330,000 ; total −KRW 298,508,910,000 . Futures figures are from KRX at 3:49 p.m. (rounded to KRW 1 billion, unchanged on recapture at 4:14 p.m.). An Asia Economy closing report showed different futures flows—institutions +KRW 519.2bn ; foreign −KRW 64.2bn ; retail −KRW 344.6bn—opposite to this data series in direction. The report did not clarify contract scope, sampling time or other relevant differences.
Five-session totals (Oct. 16–22): KOSPI foreign +KRW 494bn ; institutional −KRW 1.647tn ; retail −KRW 1.424tn ; foreign KOSPI 200 futures −KRW 1.901tn (KRX, rounded to KRW 1 billion). The foreign cash-equity total agrees with the sum of Snowshagal's daily 3:38 p.m. captures: Oct. 16 +KRW 341bn ; Oct. 19 −KRW 38bn ; Oct. 20 −KRW 530bn ; Oct. 21 +KRW 660bn ; Oct. 22 +KRW 61bn. By the same method, the excluded Oct. 15 foreign reading was −KRW 3.624tn
Short selling: Combined KRX regular-session and Nextrade main-market short-sale turnover in KOSPI-listed stocks totaled KRW 1.0046 trillion (Oct. 21: KRW 1.0197 trillion), as of 3:38 p.m. The largest was SK hynix at KRW 184.7 billion, followed by Samsung SDI at KRW 55.9 billion (11.8% of that stock's turnover), Samsung Electronics at KRW 48.5 billion and Hanmi Semiconductor at KRW 35.4 billion (24.2%).

SECTOR / 04

Winners and Losers

Today's distribution matters more than a ranking

THE PLAIN-ENGLISH VERSIONSemiconductors surrendered their large Oct. 21 gains. Battery stocks, which barely participated in the previous day's rally, fell even harder. Roughly eight out of ten stocks across the two markets declined. Samsung E&A, which announced both strong earnings and a buyback, was a conspicuous exception.

STRONG

Samsung E&AIndividual stock+16.14%

General ServicesKOSPI sector+1.85%

Non-metallic MineralsKOSPI sector+0.29%

WEAK

Secondary Battery TOP 10KRX thematic index-6.37%

Semiconductor Top 15KRX thematic index-5.29%

Machinery & EquipmentKOSDAQ sector-5.01%

ChemicalsKOSPI sector-4.67%

Electrical & ElectronicsKOSPI sector-4.52%

Only 19.0% of KOSPI stocks advanced, less than half the 40.7% on Oct. 21. The KOSDAQ's advancing share dropped from 48.1% to 16.3%. Across both markets, 79.1% of stocks fell.

Advancers and decliners · Advancers include limit-up stocks; decliners include limit-down stocks
Market	Up	Down	Flat	Up %
KOSPI	174	709	32	19.0%
KOSDAQ	283	1,392	66	16.3%

Only three of the KOSPI's 24 sectors rose: General Services, Non-metallic Minerals and Construction. Every constituent of the Semiconductor Top 15, AI Semiconductor and Secondary Battery TOP 10 indices declined.

Oct. 21 and Oct. 22 · Daily closing returns; two-day returns measured from the Oct. 20 close
Index / stock	Oct. 21	Oct. 22	Two days
Medical & Precision EquipmentKOSPI sector	+5.44%	-4.70%	+0.48%
Electrical & ElectronicsKOSPI sector	+4.98%	-4.52%	+0.23%
Semiconductor Top 15KRX thematic index	+4.06%	-5.29%	-1.44%
AI SemiconductorKRX thematic index	+3.67%	-4.76%	-1.26%
Secondary Battery TOP 10KRX thematic index	+0.09%	-6.37%	-6.29%
SKIndividual stock	+12.62%	-4.25%	+7.83%

Batteries: All ten constituents of the Secondary Battery TOP 10 declined. EcoPro BM -9.66% ; Samsung SDI -7.58% . These shares had barely joined the Oct. 21 rebound, yet fell even more sharply on Oct. 22. Over two days, batteries lost more than semiconductors. Profit-taking in the previous day's strongest performers cannot explain the entire move (our interpretation).Semiconductor equipment: TES -9.41% ; Jusung Engineering -8.93% . Only 18 of 178 traded stocks in the KOSDAQ Machinery & Equipment sector rose. Equipment makers, which had lagged large caps on Oct. 21, fell further than those large caps on Oct. 22.Share of market-cap losses: Samsung Electronics, its preferred shares and SK hynix together account for roughly half of KOSPI market capitalization, but only about 65% of the estimated reduction in market capitalization on Oct. 22 (our calculation, not an official index-point contribution). That compares with 84% of the estimated market-cap increase on Oct. 21—another sign the decline spread beyond these three securities (our interpretation).

Sectors refer to KOSPI/KOSDAQ industry indices, themes to KRX thematic indices and stocks to individual closing-price returns. Their methodologies differ, so they should not be combined into a single league table. Samsung E&A's sharp rise reflected company-specific news.

SECTOR EVIDENCE

Market-cap loss estimate: The three securities lost about KRW 108.6 trillion in combined market value (Samsung Electronics approximately KRW 52.6tn, SK hynix KRW 51.9tn, Samsung Electronics preferred KRW 4.1tn), divided by an estimated KRW 166.7tn decline in KOSPI market capitalization (the index's 3.52% drop applied to approximately KRW 4,735tn in Oct. 21 market cap), giving about 65%. The estimated Oct. 21 market cap was derived by applying that day's index return to the estimated Oct. 20 level of KRW 4,584tn. This is an approximate share of market-cap changes, not the official index-point contribution.

Battery and chip-equipment stocks · Oct. 22 closing returns
Category	Stock	Oct. 22
Secondary batteries	EcoPro BM	-9.66%
	POSCO Future M	-7.74%
	Samsung SDI	-7.58%
	EcoPro	-7.54%
	LG Chem	-6.85%
	LG Energy Solution	-5.22%
Semiconductor equipment	TES	-9.41%
	Jusung Engineering	-8.93%
	PSK Holdings	-8.37%
	Wonik IPS	-7.92%
	Eugene Technology	-7.37%
	Soulbrain	-6.34%
	Hanmi Semiconductor	-5.81%

Other steep decliners: APR -8.78% ; SK Innovation -8.17% ; Isu Petasys -5.74% · HPSP -4.91% . Among KOSPI Chemicals stocks, only 14 of 121 advanced; in Electrical & Electronics, only eight of 80 advanced.
Stocks with smaller declines: Samsung SDS +2.73% ; Samsung Fire & Marine Insurance +1.16% ; LG CNS +0.83% ; Hyundai Engineering & Construction +0.54% ; Hanwha Aerospace -0.37% ; Hanwha Systems -0.54%

Sector indices · 20 categories shared by both markets · Sorted by KOSPI return
Sector	KOSPI	KOSDAQ
General Services	+1.85%	-3.56%
Non-metallic Minerals	+0.29%	-4.71%
Construction	+0.01%	+1.17%
IT Services	-0.69%	-0.26%
Food, Beverages & Tobacco	-0.85%	-1.33%
Distribution	-0.90%	-2.51%
Paper & Wood	-0.99%	-1.99%
Textiles & Apparel	-1.57%	-2.66%
Entertainment & Culture	-1.70%	-1.12%
Financials	-1.83%	-5.23%
Telecommunications	-2.23%	-1.37%
Transportation Equipment & Parts	-2.25%	-1.91%
Transport & Warehousing	-2.83%	-0.29%
Pharmaceuticals	-2.85%	-3.37%
Metals	-3.31%	-2.09%
Machinery & Equipment	-3.31%	-5.01%
Manufacturing	-4.15%	-4.05%
Electrical & Electronics	-4.52%	-4.40%
Chemicals	-4.67%	-3.71%
Medical & Precision Equipment	-4.70%	-2.97%

Sectors appearing in only one market: KOSPI Electricity & Gas -0.14% ; Real Estate -0.35% ; Insurance -0.43% ; Securities -2.67% ; KOSDAQ Other Manufacturing -1.09% ; Publishing & Media Reproduction -3.89%

KRX thematic indices · Sorted by Oct. 22 return
Theme	Oct. 21	Oct. 22
Game TOP 10	-0.74%	-0.62%
High Dividend 20	-1.26%	-1.07%
K-AI Defense TOP 5+	-0.28%	-1.66%
Internet TOP 10	-2.05%	-2.02%
Biotech Technology Licensing	+2.75%	-2.81%
BBIG	-1.15%	-2.82%
AI Power Infrastructure	+1.08%	-2.94%
Shipbuilding TOP 10	+1.38%	-2.96%
Biotech TOP 10	+1.56%	-3.00%
K-AI KOSDAQ Biotech	+3.40%	-3.16%
Blue Chip 25	+3.92%	-3.82%
K-AI Semiconductor TOP 2+	+3.95%	-3.83%
AI Semiconductor	+3.67%	-4.76%
Electric Vehicle Top 15	+0.05%	-5.20%
Semiconductor Top 15	+4.06%	-5.29%
Secondary Battery TOP 10	+0.09%	-6.37%
K-AI Secondary Batteries	+0.50%	-7.26%

Top 10 KOSPI stocks by market capitalization · Closing prices in KRW per share
Stock	Close	Daily return
Samsung Electronics	214,500	-4.03%
SK hynix	1,223,000	-5.49%
Samsung Electronics (preferred)	167,100	-2.96%
SK Square	751,000	-3.59%
LG Energy Solution	390,000	-5.22%
Samsung Electro-Mechanics	1,145,000	-1.97%
Samsung Biologics	1,361,000	-3.95%
Hyundai Motor	301,500	-2.58%
KB Financial Group	158,200	-1.49%
Samsung Life Insurance	241,500	-1.43%

Limit moves: KOSPI had no limit-up or limit-down stocks; KOSDAQ had three limit-up and one limit-down. The advancing percentage counts both ordinary advances and limit-up stocks, divided by all stocks classified as limit-up, advanced, unchanged, declined or limit-down (KOSPI: 174/915; KOSDAQ: 283/1,741).
KOSDAQ turnover was KRW 6.4082 trillion, 1.19 times its preceding five-session average—the opposite of the KOSPI's 0.70 ratio.
Constituent counts cover stocks traded on the day. Sector returns are market-cap-weighted index returns, not sector-level net capital inflows.

CHANGE / 05

Yesterday's Questions, Today's Answers

Checking Oct. 21's conditions against today's close

YESTERDAY → TODAY

Of yesterday's three tests, only foreign flows satisfied the pre-set criteria through Stage 2. But foreign KOSPI buying was just one-tenth of Oct. 21's, investors sold the KOSDAQ, and published futures figures disagreed on direction. Calling this a bullish signal would be a stretch. Institutional net selling and the breadth of the decline are more useful explanations for today's market (our interpretation).

Samsung Electronics and SK hynix · Number of stocks advancingStage 1: At least one · Stage 2: Both · Neither stage met

2/2

→

0/2

KOSPI advancing share · Did it exceed 50%?Stage 2 also requires an index gain · Stage 1 not met

40.7%

→

19.0%

Foreign KOSPI cash equities (KRX) · Net buyers?Stage 2 also requires net buying in futures · Both stages met in our KRX capture, although futures figures differ in outside reports

+KRW 660bn

→

+KRW 61bn

01 · Samsung Electronics +5.67% → -4.03% ; SK hynix +5.81% → -5.49% . 02 · Including limit-up stocks, 174 advancers out of 915 traded stocks. 03 · Our KRX captures at 3:38 p.m. (cash equities) and 3:49 p.m. (futures). Foreign futures flows changed from −KRW 817bn → +KRW 314bn, a swing into net buying (KRX futures figures by investor type; Asia Economy instead reported foreign flows of -642). Foreign cash-equity net purchases were about one-tenth of Oct. 21's level.

CATALYST / 06

Samsung E&A Surges 16% on Profit Nearly Twice Estimates and a Planned KRW 780bn Buyback

One company-specific catalyst the market clearly repriced today

Samsung E&A · Oct. 22 preliminary results and share-repurchase resolution

+16.14%

Q3 operating profit of KRW 500.6bn—nearly twice consensus—plus higher annual targets and a planned KRW 780bn share buyback

WHAT · The announcements

The company filed preliminary consolidated Q3 results on the morning of Oct. 22: revenue KRW 2.9105 trillion (up +45.8% year on year) and operating profit KRW 500.6 billion (up+183.6%). Its board also approved repurchasing approximately KRW 780 billion of its shares. Separately, it raised annual order-intake and operating-profit targets through amended filings (company disclosures; Newsway; Financial News).

TERMS · Figures and conditions

Preliminary results and board decision · Consensus from FnGuide, cited by Newsworks
Q3 operating profitConsensus: KRW 252bn	KRW 500.6bn
Q3 revenueConsensus: KRW 2.77tn	KRW 2.9105tn
FY operating-profit target	KRW 800bn → KRW 1.4tn
FY order-intake target	KRW 12tn → KRW 19tn
Share repurchasesOct. 23, 2026–Jan. 22, 2027	Approx. KRW 780bn
Of which, to be retired	KRW 690bn

Operating profit for the first nine months totaled KRW 961.9 billion, already exceeding the previous full-year target of KRW 800 billion. A sole-contract award for a Saudi fertilizer plant worth roughly KRW 4.7 trillion in September underpinned the higher order-intake target (Financial News; MTN).

SHAREHOLDERS · What it means (our interpretation)

Most of the repurchased shares will be , reducing the share count and returning value to remaining shareholders. KRW 90 billion will instead be used for employee bonuses and related purposes, and will not be retired. Q3 results are preliminary; final results are scheduled for disclosure on Nov. 16 (MTN). Watch the pace of actual purchases from Oct. 23 and whether final results substantiate the preliminary figures.

MARKET · Price reaction

KRW 55,400 (+16.14%); the intraday high was KRW 56,500 (Dailian). At 9:31 a.m., the stock was already trading at KRW 55,400, its eventual closing price (Newsworks). It topped both foreign and institutional net-buying rankings on a day the KOSPI lost 3.5% (MONEY tables). This is one stock repriced on new earnings and shareholder-return news, not evidence that earnings-sensitive stocks were broadly strong (our interpretation).

NEXT / 07

What to Watch Next Session

Three tests for tonight and the Oct. 23 session

Will declines in chips and batteries stop after one day?

Check the Oct. 23 regular-session close. Stage 1: Either the KRX Semiconductor Top 15 or Secondary Battery TOP 10 closes higher. Stage 2: Both rise. Today: -5.29%⁠·⁠-6.37% ; monitor equipment makers separately through the KOSDAQ Machinery & Equipment sector (today: -5.01%).

Will institutional net selling ease?

Today's institutional KOSPI cash-equity flow: −KRW 462bn . Stage 1: Net selling on Oct. 23 is smaller than KRW 462 billion (including a switch to net buying). Stage 2: Institutions turn net buyers. Check KRX's 3:38 p.m. investor totals.

If the market rebounds, will turnover recover too?

Today's KOSPI turnover was KRW 13.7003 trillion, 0.70 times the previous five-session average. Stage 1: The KOSPI closes higher on Oct. 23. Stage 2: It rises with turnover above Oct. 22's level. If a rebound still comes with below-average turnover, that would show only a partial easing of the liquidity shortfall.

LATER DATES

Oct. 23 U.S. time: Flash U.S. October PMI readings. Oct. 26: Planned Samsung Biologics union strike date (subject to change; reported). 10/27~28 Oct. 27–28: Federal Reserve meeting. Nov. 16: Samsung E&A final Q3 results expected (reported). Nov. 19: SK hynix share-buyback period ends (filing). Nov. 26: Bank of Korea Monetary Policy Board meeting (reported).

The rebound lasted a day, but the selloff reached beyond semiconductors and drove the index below its Oct. 20 close. Next, watch whether chip and battery losses stabilize—and whether institutional selling eases.

SOURCES · DATA DEFINITIONS

As of Oct. 22, 2026. Index, sector and stock closing prices refer to the Korea Exchange regular session, 09:00~15:30 KST.
Overseas news and indicators: Public information available by 6 p.m. KST on Oct. 22.
Korean investor flows: Snowshagal's KRX regular-session captures (investor totals at 3:38 p.m.; stock-level readings at 3:51 p.m.); after-market trading excluded.
Indices: KOSPI open 5,670.11, high 5,740.28, low 5,485.98, close 5,533.77; KOSDAQ open 789.84, high 791.24, low 761.56, close 764.10. Confirmed regular-session closing data (Snowshagal capture).
Intraday chart: The KOSPI's regular-session path follows five-minute bars, plotted at actual times. Only the four OHLC figures are treated as confirmed levels. The 9:04 a.m. figure comes from The Korea Economic Daily ; 11:17 a.m. from Jeonnam Ilbo (Yonhap) ; 1:25 p.m. from Financial News
Investor totals: Snowshagal's KRX KOSPI-market capture at 3:38 p.m. (foreign total includes other foreign investors). Stock-level net purchases: KRX investor-by-security capture at 3:51 p.m. Other Corporations calculated as the residual of three investor groups. Closing media comparisons from Financial News (3:47 p.m.)⁠·⁠Block Media (3:49 p.m.)⁠·⁠Etoday (4:06 p.m.)⁠·⁠NewsPim (4:04 p.m.) . Intraday flow reports were from The Korea Economic Daily (9:04 a.m.), Jeonnam Ilbo (11:17 a.m.) andEdaily (11:30 a.m.); Financial News (1:25 p.m.). For differing futures figures, see Asia Economy
Futures and program trading: KRX KOSPI 200 futures figures by investor type at 3:49 p.m. (Oct. 21 sampled at the same time); program-trading regular-session closing data (3:36 p.m. on Oct. 22 and 3:35 p.m. on Oct. 21). Five-session sums are from KRX.
Turnover: KOSPI KRW 13.7003 trillion; Oct. 21 KRW 17.1664 trillion; preceding five-session average KRW 19.4542 trillion, yielding a 0.70 ratio. Captured at 3:38 p.m.
Short selling: Combined KRX regular session and Nextrade main market, as of 3:38 p.m.
Market breadth: Final KRX counts of rising and falling securities (4:14 p.m.); limit-up and limit-down stocks are counted separately from ordinary advances and declines.
Sectors and themes: KRX industry and thematic index closing returns and constituent advance/decline counts. Oct. 21 comparisons use that day's closing returns. Individual-stock returns use Snowshagal's captured closes. Market-cap loss shares are Snowshagal's estimates using prices and market capitalizations of leading stocks.
United States: Dow, S&P 500, Nasdaq and Philadelphia Semiconductor Index figures are Oct. 21 U.S. closes (Snowshagal captures). U.S. 10-year Treasury yield from U.S. Treasury daily rates ; Meta earnings and extended-hours reaction from TradingKey ; Lam Research from GuruFocus ; Tesla from NewsPim . Korean-market transmission commentary from Edaily, Financial News and Block Media. Meta cash-flow figures from the company's SEC-filed earnings release
Oil, futures and Asia: Oil, futures and Lam Research's -7.4% move around 10 a.m. KST from Bloomberg (via swissinfo) . Later oil prices and Japanese stocks from AP . Revolutionary Guard statement from SBS (3:08 p.m.) . Asian index readings from Etoday ; TSMC and MediaTek closing moves from UDN⁠·⁠ETtoday
Brokerage commentary: Kang Jin-hyuk via Jeonnam Ilbo (Yonhap) and Block Media; Han Ji-young via The Korea Economic Daily; Lee Eun-taek via Etoday.
Samsung Electro-Mechanics: Nvidia collaboration announcement, intraday high and close from Special Times
Samsung E&A: Earnings, higher targets and share-buyback decision from company disclosures (Oct. 22 preliminary results, repurchase resolution and amended filing), plus Newsway⁠·⁠Financial News . Consensus estimates from Newsworks (FnGuide) . Intraday high from Dailian . Final-results filing schedule and Saudi order from MTN
Bank of Korea: Decision and November-rate outlook from AsiaToday
Calendar: Western Digital earnings release and call time from company announcement ; PMI from Financial News (weekly outlook) ; Samsung Biologics union calendar from The Hankook Ilbo . SK hynix repurchase window from a company filing.