Why it matters
- The Kospi closed at 5,383.80 on Thursday, down 300 points or 5.28%, Korea JoongAng Daily reported. By Global Terminal's count from Yahoo Finance data, it was the index's 22nd daily fall of 5% or more in 206 sessions this year.
- Memory chip makers led the drop. SK hynix fell 9.46% and Samsung Electronics 7.57%, and foreign investors sold a net 3.43 trillion won of Kospi shares, JoongAng Daily said.
- The index is 40.9% below its June 22 record close of 9,114.55 but still about 27.8% above its 2025 year-end close, Yahoo data show.
Analysis: this piece includes our interpretation of the facts reported.
South Korea's Kospi fell 5.28% to 5,383.80 on Thursday, Nov. 5, as chip stocks sold off after the U.S. midterm elections, Korea JoongAng Daily reported. It was the Kospi's 22nd daily drop of 5% or more this year, by Global Terminal's count from Yahoo Finance data. The tech-heavy Kosdaq fell 5.11% to 678.41.
Memory makers did most of the damage. SK hynix fell 9.46% to 1,264,000 won and Samsung Electronics fell 7.57% to 201,500 won, the Korea Times reported. A sell-side "sidecar," which briefly pauses program trading, was triggered on the Kospi at 10:16 a.m., JoongAng Daily said.
Why did the Kospi fall on Thursday?
Investors bet that Democratic control of Congress would slow U.S. data center construction, which would hit demand for memory chips. JoongAng Daily said Goldman Sachs estimated about 45% of planned new U.S. data center capacity could face temporary suspensions. The selloff followed U.S. chip losses on Wednesday. The Philadelphia Semiconductor Index fell 3.13%, Yahoo data show, and Micron lost 7%, according to the Korea Times.
Not everyone expects lasting damage. Han Ji-young of Kiwoom Securities said "data center projects already underway are unlikely to face major delays," the Korea Times reported.
Foreign investors drove the selling. They sold a net 3.43 trillion won of Kospi shares, while retail investors bought a net 2.28 trillion won and institutions 847.8 billion won, JoongAng Daily said.
How often does the Kospi fall 5% in a day?
Very often this year. Of 206 sessions from Jan. 2 to Nov. 5, the Kospi fell 5% or more on 22 of them, by Global Terminal's calculation from Yahoo closing data. Thursday's drop ranked 20th. It was the biggest since Thursday, Oct. 15, when the index fell 7.57%. The worst day this year was March 4, down 12.06%.
The two chip makers swing harder. Samsung fell 5% or more on 31 days this year and SK hynix on 37, Yahoo data show.
| Measure | Kospi | Samsung Electronics | SK hynix |
|---|---|---|---|
| Nov. 5 close | 5,383.80 | 201,500 won | 1,264,000 won |
| Change on Nov. 5 | -5.28% | -7.57% | -9.46% |
| Record close in 2026 | 9,114.55 (June 22) | 362,500 won (June 18) | 2,919,000 won (June 22) |
| Below record close | -40.9% | -44.4% | -56.7% |
| Change in 2026 | +27.8% | +68.1% | +94.2% |
| Days down 5% or more in 2026 | 22 | 31 | 37 |
Source: Yahoo Finance daily closes; changes and counts are Global Terminal calculations. Year-to-date changes are measured from Dec. 30, 2025, the last trading day of 2025.
How deep is the Kospi's drawdown?
The index has lost about two-fifths of its value since June. It sits 40.9% below its June 22 record close, Yahoo data show. JoongAng Daily measured the fall from a June 19 peak of 9,385.59 and put it at more than 42%. Even so, the Kospi remains up about 27.8% in 2026, and SK hynix has almost doubled.
The won barely moved. It weakened 0.6 won to 1,342.1 per dollar, the Korea Times reported. Against the dollar, the won is about 6.6% stronger than at the end of 2025, by Yahoo data.
Track Asian indexes and the yen on our world markets page. For background, see our October look at how the Kospi sat 27% below its June peak as memory chip stocks slid and October's markets by the numbers.
Sources
- Korea JoongAng Daily, Kospi sinks below the waves as U.S. 'Blue tsunami' soaks Korean tech shares (Nov. 5, 2026)
- The Korea Times, KOSPI tumbles as Democrat sweep fuels AI infrastructure concerns (Nov. 5, 2026)
- Yahoo Finance, chart data for the Kospi (^KS11), Samsung Electronics (005930.KS), SK hynix (000660.KS), the Philadelphia Semiconductor Index (^SOX) and the dollar-won rate (KRW=X)