[Edaily Reporter PARK MIN ] On the 19th, the domestic stock market opened more than 3% lower in early trading, reeling from the shockwaves of last week’s sharp plunge in the New York Stock Exchange triggered by the U.S.-originated “artificial intelligence (AI) profitability controversy.” However, SamsungElectronics and SK hynix—which had plummeted by over 6% during pre-market trading—quickly narrowed their losses shortly after the regular session opened, buoyed by “twin-engine buying” from foreign and institutional investors.

According to MP Doctor, as of 9:10 a.m., the KOSPI was trading at 5,595.20, down 72.85 points (1.29%) from the previous trading day. Immediately after the market opened, the index plummeted to 5,488.41, breaking below the 5,500 mark, but is now attempting to rebound to around the 5,590 level as bargain-hunting buying pressure sets in.

By investor type, foreign and institutional investors are both net buyers, helping to reverse the early-session losses. Foreign investors are net buyers of 144.2 billion won, and institutional investors are net buyers of 227.4 billion won, resulting in a total net buying volume of 371.6 billion won. In contrast, retail investors are net sellers of 378.0 billion won.

Among the top-market-cap stocks on the KOSPI, the losses of large-cap semiconductor stocks—which had faced a wave of pre-market selling—have narrowed significantly. SamsungElectronics(005930)is trading at 213,500 won, down 0.93% from the previous trading day, while SK hynix(000660), which had fallen below the 1.2 million won mark in pre-market trading, has recovered to 1,253,000 won, down 1.49%. SamsungElectronics(1P)(005935)is trading at 168,450 won, up 0.75%.

In addition, while SAMSUNG BIOLOGICS(207940)is up 1.62%, major blue-chip stocks such as SamsungElectroMechanics(009150)(-3.03%), SKSQUARE(402340)(-1.79%), HyundaiMotor(005380)(-1.28%), KB Financial Group(105560)(-1.25%), Samsung Life Insurance(032830)(-1.05%), and LG Energy Solution(373220)(-0.12%) are trading in the red.

At the same time, the KOSDAQ index stood at 792.01, down 2.77 points (0.35%) from the previous trading day, fluctuating below the 800 mark. In the KOSDAQ market, foreign investors are net buyers of 48.6 billion won, institutions are net buyers of 9.2 billion won, and retail investors are net sellers of 60.5 billion won.

Among the top-market-cap stocks on the KOSDAQ, a correction continues, centered on semiconductor materials, parts, and equipment (MPE) stocks and robotics stocks. JUSUNG ENGINEERING Co.,Ltd.(036930)(-2.85%), EO Technics Co., Ltd.(039030)(-2.46%), SIMMTECH Co., Ltd.(222800)(-2.33%), LEENO Industrial Inc(058470)(-2.12%), and WONIK IPS Co.,Ltd.(240810)(-0.55%) are all showing declines. Alteogen Inc.(196170)(-1.92%) and Rainbow Robotics(277810)(-1.70%) are also trading lower.

On the other hand, leading secondary battery stocks such as ECOPRO CO., LTD(086520)(0.62%) and ECOPRO BM CO., LTD.(247540)(0.28%), as well as pharmaceutical and biotech stocks like HLB INC.(028300)(0.96%), are posting slight gains.

Securities analysts believe that the shock from “AI bubble” concerns—triggered last weekend on the New York Stock Exchange by the spotlight on CoreWeave’s credit risk and Gartner’s report warning about AI investment returns—was already factored into the index early in the session. However, once regular trading began, foreign and institutional investors engaged in bargain hunting based on the perception that the decline was excessive, and the panic-selling phase appears to have subsided for now.

Earlier, on the last trading day of last week, U.S. stock markets fell amid growing caution regarding artificial intelligence (AI) investments. On the 16th (local time), the Nasdaq Composite Index closed at 26,140.03, down 2.15%, on the New York Stock Exchange. The S&P 500 Index closed at 7,659.44, down 1.09%, while the Dow Jones Industrial Average ended the session at 52,002.41, down 0.34%.

As U.S. neo-cloud provider CoreWeave fell 11.91% amid renewed concerns over credit risk, AI and semiconductor-related stocks tumbled one after another, causing the Philadelphia Semiconductor Index to plunge 3.83%. The index has now fallen for eight consecutive trading days, marking its longest losing streak since the 2008 U.S. financial crisis.

Memory and semiconductor-related stocks—including Micron (-5.63%), Broadcom (-4.52%), SK hynix American Depositary Receipts (ADRs, -6.58%), and AMD (-5.95%)—as well as major Big Tech stocks such as Meta (-3.72%), Alphabet (-2.47%), and Microsoft (-1.93%)—all saw significant declines.

Securities analysts advise that while domestic semiconductor stocks have entered oversold territory, investors should remain wary of high volatility for the time being, as uncertainties surrounding the AI industry have not been resolved. In particular, they point out that a cautious approach is necessary until the actual demand in the AI industry and the sustainability of capital expenditures (CAPEX) are confirmed through this week’s Gartner IT Symposium and earnings reports from major Big Tech companies like Meta.

Han Ji-young, an analyst at KIWOOM Securities, said, “The primary concerns are whether CoreWeave’s stock price—which served as the flashpoint for recent market volatility—will rebound, and whether the sharp rise in corporate bond yields and credit default swap (CDS) premiums will subside.” She added, “However, it is also time to consider that, in terms of the magnitude of the decline, the domestic stock market has already undergone an excessive correction compared to other markets.”

She continued, “Even if the KOSPI faces downward pressure during the week, it is appropriate to factor into our strategy the possibility of a price rebound given that the index has already fallen to the 5,000-point range,” adding, “The market is expected to build downward support as it navigates key earnings events, including those of U.S. Big Tech companies and major domestic firms in the power equipment and defense sectors.”