South Korean ETFs experienced a sharp decline in early trading. As of the latest update, the 2x Long SK Hynix ETF (07709) fell by 8.34% to HKD 96.24, while the 2x Long Samsung Electronics ETF (07747) dropped 8.1% to HKD 143. The TR Korea ETF (02848) decreased by 4.33%, trading at HKD 1,823.5.
On the news front, South Korean stocks opened higher but quickly reversed gains on the morning of May 15. After initially surpassing the 8,000-point mark, the KOSPI index plunged sharply, declining 4.1% to 7,654.5 as of the latest update. In the semiconductor sector, Samsung Electronics fell over 5%, and SK Hynix dropped more than 4%.
South Korea's Finance Minister, Yoo Il-ho, stated on Friday that despite strong export data, prolonged conflicts in the Middle East are gradually impacting the South Korean economy through rising consumer prices. The government will take proactive measures to stabilize supply chains. Extended warfare has begun to significantly affect the real economy and daily lives in South Korea.
In related developments, the South Korean union of Samsung Electronics announced on Friday that the tech giant has proposed resuming negotiations without any preconditions. This comes just days after government-mediated talks on wage and bonus packages collapsed. The union expressed willingness to hold discussions after June 7 but maintained its original strike plan set to begin on May 21. The potential strike could disrupt production operations at the world's largest memory chip manufacturer.
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