Financial markets in South Korea experienced a sharp recovery on Friday, recouping a portion of the losses sustained during a three-day decline that had previously erased hundreds of billions of dollars in market value. The benchmark Kospi index concluded the trading session nearly 18% higher, bolstered by a surge in semiconductor stocks.
The rebound was largely fueled by positive financial results from U.S. technology companies Amazon and Microsoft, which eased investor concerns regarding the massive capital expenditure currently flowing into artificial intelligence. This renewed optimism also contributed to market gains in Japan and Taiwan.
Key players in the semiconductor sector saw substantial growth, with SK Hynix—a primary supplier for Nvidia—climbing nearly 30%. Samsung Electronics also recorded a significant increase of 28%. These gains follow a period of intense volatility for the Kospi, which has been subject to multiple trading halts this year due to mechanisms designed to mitigate panic selling. Despite recent fluctuations, the index remains more than 50% higher than its closing value at the end of 2025.
In addition to the positive earnings reports, South Korean regulators implemented specific measures intended to stabilize the market and address the recent sell-off.
Source: BBC News
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