The brand of SK hynix is seen on its product throughout The twenty sixth Semiconductor Exhibition 2024 in Seoul, Oct. 23, 2024. Reuters-Yonhap
Korean shares traded sharply decrease late Friday morning as tech shares misplaced floor on the latest shock from the emergence of Chinese language synthetic intelligence (AI) startup DeepSeek.
The benchmark Korea Composite Inventory Value Index (KOSPI) had shed 28.88 factors, or 1.14 %, to 2,507.92 as of 11:20 a.m. The KOSPI was closed from Monday to Thursday as a result of Lunar New Yr vacation.
Huge-cap tech shares had been buying and selling sharply decrease, with market behemoth Samsung Electronics down 2.42 % and its chipmaking rival SK hynix plunging 9.77 % as a result of „DeepSeek shock.“
Earlier this week, the cost-efficient AI fashions from China’s DeepSeek rattled international inventory markets, with some consultants arguing the Chinese language AI mannequin can compete towards these from U.S. tech giants at decrease prices.
Main U.S. indexes, nonetheless, gained floor in a single day as buyers moved to bag in tech shares following a slide sparked by DeepSeek.
In Seoul, tech heavyweights misplaced floor however info expertise (IT) and software program firms had been bullish.
Web portal operator Naver jumped 5.88 %, and Kakao, the operator of the nation’s high cellular messenger, soared 8.11 %.
The 2 benefited from the latest DeepSeek shock’s indication that creating superior AI fashions might not require huge computational sources, reminiscent of AI chips.
Monetary shares had been additionally robust, with KB Monetary up 2.36 %, Shinhan Monetary up 2.2 % and Meritz Monetary climbing 2.65 %.
Hana Financial institution’s dealing room / Yonhap
The native forex was buying and selling at 1,454.20 gained towards the U.S. greenback at 11:20 a.m., sharply down 22.9 gained from the earlier session. (Yonhap)
