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KOSPI Plunges Another 5% as Second Wave of Sharp Chip-Sector Selloff Hits South Korean Stocks Wednesday

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KOSPI Plunges Another 5% as Second Wave of Sharp Chip-Sector

SEOUL, South Korea — South Korea’s benchmark KOSPI index plunged again Wednesday, falling 409.52 points, or 5.35 percent, to 7,246.79, extending a punishing two-day rout that has now wiped out a significant portion of the index’s extraordinary gains from earlier this year, as investors continued dumping shares in chipmakers Samsung Electronics and SK Hynix.

Wednesday’s decline followed an even more dramatic session Tuesday, when the KOSPI plunged more than 8 percent intraday and triggered South Korea’s sixth circuit breaker of the year, halting trading for 20 minutes after the index fell below key psychological levels in rapid succession. Tuesday’s session ultimately closed down 4.91 percent, but the selling resumed almost immediately Wednesday, with the index opening sharply lower and continuing to slide through the afternoon session, according to Korean market data.

The renewed selloff has come despite, and in some ways because of, historically strong earnings results from Samsung Electronics, the country’s largest company and a dominant force within the KOSPI index. Samsung reported preliminary second-quarter operating profit of 89.4 trillion won, or approximately $58.6 billion, a nearly 19-fold increase from the same period last year and a figure that exceeded consensus analyst estimates. Rather than lifting the broader market, the announcement triggered what traders described as a classic “sell the news” reaction, with investors concluding that expectations for the AI-driven memory chip boom had already been fully priced into share values well before the results were formally announced.

Samsung Electronics and SK Hynix, which together account for roughly 53 percent of the KOSPI’s total market capitalization, bore the brunt of the selling pressure across both sessions. On Tuesday alone, Samsung shares fell as much as 9.75 percent while SK Hynix tumbled 10.58 percent, with foreign and institutional investors net-selling a combined total exceeding 3.5 trillion won, or roughly $2.3 billion, even as retail investors stepped in as net buyers in an unsuccessful attempt to defend the market against the broader wave of selling. SK Square and Samsung Electro-Mechanics posted even steeper declines, falling 13.11 percent and 11.82 percent respectively during Tuesday’s rout.

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Analysts at Samsung Securities pointed to three primary factors behind the sharp pullback. The first was straightforward profit-taking following an extraordinary run in memory semiconductor stocks, with Samsung Electronics and SK Hynix shares having soared 177 percent and 305 percent respectively during the first half of 2026. The second factor centered on growing concern that memory semiconductor companies may have already reached peak profitability, with some investors betting that year-on-year earnings growth will slow in the second half of the year due to a high base-effect comparison against this year’s exceptionally strong results. The third and most significant factor, according to the firm’s analysis, involved broader doubts about the long-term sustainability of artificial intelligence infrastructure investment worldwide, with the delayed initial public offering of OpenAI and Meta Platforms’ expansion into cloud computing cited as additional negative signals weighing on sentiment toward AI-linked companies globally.

The scale of Tuesday’s volatility was reflected in South Korea’s fear gauge, the Kospi 200 Volatility Index, known as VKOSPI, which spiked to 85.88 during the session, a reading reflecting extreme investor anxiety. The tech-heavy KOSDAQ index also fell sharply, closing down 3.64 percent at 816.21, while South Korea’s won weakened against the U.S. dollar, settling at 1,524.20 won per dollar.

Tuesday’s circuit breaker marked the 12th such trading halt in South Korean market history and the first in seven trading sessions since a similar episode on June 26. According to the Korea Exchange, a Level 1 circuit breaker is triggered when the KOSPI falls at least 8 percent from the previous day’s close and remains at that level for one minute, automatically suspending trading in all stocks for 20 minutes to help cushion the market from severe shocks. A more severe Level 2 halt would be triggered by a 15 percent decline, while a full Level 3 shutdown of trading for the remainder of the day would require a 20 percent drop, thresholds Tuesday’s session did not reach.

The rout in South Korea has rippled across the broader Asia-Pacific region, contributing to declines in Japan’s Nikkei 225, which fell more than 2 percent Tuesday to 68,256.96, its steepest drop in weeks, as chip-related suppliers including Kioxia Holdings, SUMCO and Taiyo Yuden each fell more than 11 percent. Hong Kong’s Hang Seng Index and mainland China’s Shanghai Composite posted more modest declines of 0.51 percent and 1.26 percent respectively, suggesting the most acute selling pressure remained concentrated in markets with the heaviest direct exposure to memory chip and semiconductor equipment companies.

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Despite the severity of the two-day selloff, some analysts have pushed back against the notion that the underlying memory semiconductor cycle has peaked. Samsung Securities said it does not believe the current AI investment cycle has run its course, forecasting that the market could demonstrate renewed resilience if major U.S. technology companies reaffirm their AI investment plans during upcoming earnings reports later this month. The firm noted that even after roughly 150 trillion won in net selling by foreign investors during the first half of 2026, the overall proportion of foreign ownership within the KOSPI has actually increased, from 36 percent at the start of the year to around 40 percent, suggesting continued underlying confidence in Korean equities among international investors despite the recent volatility.

The KOSPI’s dramatic swings this year have also been amplified by structural factors specific to the South Korean market. According to Finimize, margin borrowing in KOSPI shares stood at 29.7 trillion won as of the Friday before the selloff began, close to a late-June record, raising the risk that sharp declines could trigger cascading margin calls and forced selling, further amplified by daily-reset leveraged exchange-traded funds that mechanically sell more of the underlying stocks following steep down days.

Even accounting for this week’s sharp losses, the KOSPI remains up substantially for the year, having posted the strongest growth rate among major global stock indices during the first half of 2026, rising roughly 100 percent on the strength of robust memory semiconductor performance. Whether Wednesday’s continued decline represents a healthy correction within that broader rally, or the start of a more prolonged reassessment of AI-related valuations across the region’s technology sector, remains a central question for investors as they await further signals from upcoming earnings reports at major U.S. technology companies later this month.

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US, Japan join Philippines in South China Sea drills

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Above The Noise: Look Beyond AI Pullback

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Above The Noise: Look Beyond AI Pullback

Above The Noise: Look Beyond AI Pullback

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Royal Expert Says Meghan Markle Uneasy as King Charles Seeks to Mend Harry Rift Fully Behind Closed Doors

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Meghan Markle

A royal historian says Meghan Markle remains uncomfortable with the terms on which King Charles III appears willing to repair his relationship with Prince Harry, even as the monarch’s recent private reunion with the Sussex family in Gloucestershire signaled the most significant step yet toward reconciliation in years.

A quiet reunion after four years apart

Harry, Meghan and their two children, Prince Archie and Princess Lilibet, met privately with King Charles and Queen Camilla on July 10 at Highgrove House, the king’s country residence in Gloucestershire, Buckingham Palace confirmed. The gathering marked the first time the whole family had come together since Queen Elizabeth II’s Platinum Jubilee celebrations in 2022, and the first time Charles had seen his grandchildren in person in more than four years.

The palace described the visit as strictly private and said no photographs would be released, a decision consistent with how the family has handled previous low-key meetings between Harry and his father. The reunion followed Harry’s earlier trip to Birmingham that week for an event marking the one-year countdown to the Invictus Games, the international sporting competition for wounded and ill service members that Harry founded. Notably absent from the Highgrove gathering were Prince William and Catherine, Princess of Wales, a detail that drew its own round of commentary from royal watchers given the strained relationship between the two brothers.

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Buckingham Palace’s confirmation of the meeting came after a difficult stretch for Harry on another front: the High Court dismissed his long-running lawsuit against Associated Newspapers Limited, the publisher of the Daily Mail and Mail on Sunday, in the same week.

Expert says reconciliation is happening on Charles’ terms

Royal historian Marlene Koenig, speaking to the Mirror, said the circumstances surrounding the Highgrove meeting suggest the king is choosing to manage any reconciliation with his son carefully and privately, rather than through public statements or media appearances. Koenig pointed to the fact that Buckingham Palace and the royal household appeared to control the narrative around the visit, with no details leaking beforehand, as evidence of that approach. She also said Harry’s desire to reconnect with his home country runs deeper than any lingering tension with Meghan, telling the outlet, “It is inevitable that Harry would want to spend more time in his homeland.”

According to Koenig, Meghan has not shared that same enthusiasm for reintegrating with royal life and its expectations, a dynamic she said has shaped how the couple has approached visits to the UK since stepping back from royal duties in 2020. Koenig also drew a comparison to past royal marriages that broke down, including those of King Charles and Diana, Princess of Wales, and Prince Andrew and Sarah Ferguson, suggesting the family has become more attentive to giving younger royals time to build relationships before marriage as a result of those earlier experiences.

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Security concerns shaped the visit

The path to the Highgrove reunion was not straightforward. Ahead of the meeting, it remained publicly unclear whether Meghan and the children would join Harry in the UK at all, given his previously stated hesitation about bringing his family to Britain over security concerns. Harry has been engaged in a long-running dispute with the British government over the level of publicly funded protection he receives during UK visits, a fight that included a failed legal appeal in 2025 challenging the government’s decision to reduce his security detail after he and Meghan relocated to California.

According to Britain’s PA news agency, the family ultimately flew in from an undisclosed location in Europe for the Friday gathering, with plans reportedly shifting in the days beforehand. The Sussex family was believed to be staying at Althorp House, the Northamptonshire estate where Harry’s mother, Princess Diana, grew up and is buried, according to the Mirror.

A cautious, incremental thaw

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British broadcaster Helena Chard told Fox News Digital that the king’s willingness to see his grandchildren reflects his personal priorities amid ongoing health challenges. Charles has been undergoing treatment since being diagnosed with a form of cancer in February 2024. Chard said the king’s medical situation has shaped how he weighs family relationships, telling the outlet, “family matters more than ever” despite years of public estrangement between father and son.

Royal commentators have also pointed to the broader pattern of contact between Harry and his father in recent years as evidence that any reconciliation remains gradual and largely private. The Highgrove meeting followed an earlier, lower-profile encounter between Harry and Charles over tea at Clarence House the previous September, itself described at the time as their first in-person meeting in roughly a year and a half.

Neither Buckingham Palace nor representatives for the Sussexes have offered public detail beyond confirming that the Highgrove meeting took place, and both sides have generally avoided commenting further on the substance of the visit. Royal watchers say that reticence is likely intentional, part of an approach aimed at keeping any reconciliation out of the public eye rather than turning it into a media narrative.

Whether the Highgrove reunion marks the beginning of more frequent contact between the king and the Sussex family, or remains an isolated gesture tied to Harry’s UK travel for Invictus Games events, remains to be seen. For now, commentary from royal historians like Koenig suggests the relationship continues to be shaped less by grand public gestures and more by cautious, incremental steps taken largely behind closed doors — with Meghan’s own comfort level with that process still, by these accounts, an open question.

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Today’s Puzzle Number 1,141 Fully Solved

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Nancy Guthrie

Sunday’s New York Times Connections puzzle offered a relatively gentle challenge, according to solvers and puzzle trackers, with one weather-themed category proving the biggest stumbling block for players working through today’s grid. Here’s a full breakdown of today’s puzzle, along with hints for anyone still working through it before checking the answers.

How Connections works

Connections, one of the Times’ most popular daily word games alongside Wordle, presents players with 16 words or short phrases that must be sorted into four hidden groups of four. Each group shares a connection — sometimes a straightforward category, other times a wordplay trick or shared cultural reference — and the puzzle rates each group by difficulty using color coding: yellow for the most straightforward group, followed by green, then blue, and finally purple for the trickiest and most conceptual connection. The game resets daily at midnight in each player’s local time zone.

Today’s category hints

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For players who want a nudge before seeing the full solution, today’s puzzle broke down as follows. The yellow group centered on early childhood milestones — moments parents typically celebrate during a baby’s development. The green group involved once-common gadgets and formats that, while nostalgic, would no longer be considered cutting-edge technology today. The blue group gathered different expressions for rainy weather, ranging from familiar phrases to more old-fashioned or regional terms. The purple group, as usual the hardest of the four, hinged on multiple meanings of a single short word rather than a spelling trick, requiring players to think broadly about the many things that can be described as a “shell.”

Today’s Connections answers

With the hints out of the way, here is the complete solution to Sunday’s puzzle:

The yellow group — developmental milestones — consisted of CRAWLING, FIRST WORDS, ROLLING OVER and SOLID FOOD.

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The green group — outdated or nostalgic technology — consisted of BLACKBERRY, DISCMAN, DVD PLAYER and PLASMA TV.

The blue group — ways to describe rain — consisted of APRIL SHOWERS, LIQUID SUNSHINE, SCOTCH MIST and WET WEATHER.

The purple group — things that can be called a “shell” — consisted of CARAPACE, GAS STATION, PASTRY CRUST and ROWING BOAT. The connection ties together a tortoise’s carapace, the Shell gas station brand, a pastry shell used in baking, and a rowing shell, the traditional term for a narrow racing boat.

A puzzle that rewarded pattern recognition

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According to Forbes contributor Erik Kain, who tracks the puzzle’s daily difficulty rating through the Connections Bot scoring system, Sunday’s grid rated a 1 out of 5 on the difficulty scale, putting it among the easier puzzles the Times has published recently. Kain suggested solving the categories in the order yellow, green, blue and purple offered the smoothest path through the grid, noting the puzzle balanced simple verb-based groupings with trickier conceptual links that became clear only after ruling out the more obvious categories.

TechRadar’s Johnny Dee, who also covered the puzzle, said several of the entries caught him off guard before he worked out the connection, particularly the “shell” theme tying together unrelated-looking words. Describing his early confusion over one of the trickier entries, Dee wrote, “I thought CARAPACE was an Ecuadorian cyclist,” before realizing the word’s more literal meaning as a hard protective shell. He also noted that “liquid sunshine” struck him as an unusual way to describe rainy weather, despite it being one of several regional or colloquial synonyms grouped in the blue category.

Strategy for future puzzles

Puzzle trackers who cover Connections daily generally recommend a similar approach: start by identifying the group that feels most obvious, since locking in a confident answer early reduces the number of remaining words to sort through. From there, players are encouraged to look for structural patterns, such as words that could belong to multiple categories, before committing to their final guesses. Purple groups in particular tend to reward players who look past a word’s most literal or common meaning, since the Times frequently uses that slot for puzzles built around double meanings, wordplay or less obvious cultural references, as Sunday’s “shell” theme demonstrated.

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A companion puzzle, Connections: Sports Edition

Sunday also brought a new installment of Connections: Sports Edition, a spinoff of the main puzzle launched by the Times for sports-focused solvers. According to Parade, puzzle number 671 organized its four groups around Ohio-based sports organizations, terms associated with boats, identifiers tied to America’s pastime — a common nickname for baseball — and hockey-related organizations. As with the standard Connections puzzle, the Sports Edition resets daily at midnight and uses the same yellow-green-blue-purple difficulty structure.

Part of a growing puzzle lineup

Connections has become one of several daily games the Times uses to drive its Games subscription business, alongside Wordle, Strands, the Mini Crossword and the newer Connections: Sports Edition. The core Connections puzzle debuted in 2023 and has since built a dedicated daily following, with solvers frequently sharing their results — without spoiling specific answers — using the game’s colored emoji grid, a format that mirrors the viral sharing behavior that helped make Wordle a cultural phenomenon in the years prior.

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Players who want to track their performance over time, or who missed today’s puzzle and want to catch up, can access past Connections grids through a Times Games subscription, which also unlocks the full daily archive across the paper’s other word and logic puzzles.

For now, Sunday’s puzzle closes out as a comparatively easy one by recent standards, according to Forbes’ difficulty tracking, giving players a smoother path to a completed grid heading into the new week.

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WisdomTree: Prospects Dimmed By Hormuz Crisis Reigniting

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My Dividend Stock Portfolio: New February Dividend Record - 100 Holdings With 12 Buys

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Exclusive | Prediction-Markets Race Heats Up as Robinhood and Crypto.com Hold Talks

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Exclusive | Prediction-Markets Race Heats Up as Robinhood and Crypto.com Hold Talks

Robinhood HOOD Markets might have found another dance partner in the prediction-markets business.

The company is in talks with digital-currency exchange Crypto.com to expand the brokerage firm’s foothold in prediction markets, according to people familiar with the matter. 

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This Is When the Federal Debt Actually Matters

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This Is When the Federal Debt Actually Matters

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We Went to the Boot Camp Where KPMG Teaches Auditors to Think Critically

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We Went to the Boot Camp Where KPMG Teaches Auditors to Think Critically

ORLANDO, Fla.—Minutes into the assignment, the teams lose a member. Management needs them for another project. Design a logo. Don’t use the color blue. Only senior associates can use scissors. Except all the senior associates are out sick. Make it an animal corresponding to a KPMG founder. Make sure the lion or owl is in business attire.

So went the training exercise for KPMG summer interns.

In a new program this summer, KPMG brought nearly 1,000 of its audit and assurance interns to the accounting firm’s sprawling $450 million training facility near the Orlando, Fla., airport for several days of training in critical thinking and judgment. The logo challenge was one of several exercises designed to use those skills, alongside a scavenger hunt and a whodunnit fraud exercise. 

The purpose isn’t fun and games. Accounting jobs are among the most vulnerable to artificial-intelligence capabilities. KPMG estimates that, in two to three years, no humans will perform routine testing of things like payroll and revenue contracts. 

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Primark cuts prices as it feels pressure from Shein and Temu

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Shoppers, not in focus, walk past a Primark store in London

“Primark isn’t as cheap any more.”

It is something I keep hearing shoppers say when I ask them whether they shop at the fast-fashion giant.

“It’s definitely got more expensive,” says 19-year-old student Eshal Malik as she browses the jewellery at Primark with a friend.

But that might be about to change. Primark said on Monday that it was lowering prices on hundreds of clothing items, including jeans, jumpers and socks.

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“It’s the kind of headline you’d expect from M&S or Next,” says retail analyst Natalie Berg, explaining that price cuts like this from such a low-cost retailer are surprising.

“You don’t want to join a race to the bottom,” she says. “But when Shein is selling dresses for £3, you’ve got to respond, right?”

Primark, which has more than 190 UK stores, has been experiencing a drop in like-for-like sales, a key measure in the retail industry.

The announcement of price cuts comes ahead of parent company Associated British Foods’ plan to spin off the business onto the London stock market next year.

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The level of competition among fashion retailers has “evolved dramatically” over the past few years, and Chinese online marketplaces Shein and Temu are now competing for Primark’s customers, says Berg.

But there is also competition from other online retailers like TikTok Shop and Vinted, she says.

By slashing prices on some core items, Primark is likely hoping to woo shoppers with low-cost staples, in the same way that supermarkets attract customers with cheap milk and bananas, Berg says.

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SpaceX Lands With a Thud

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SpaceX Lands With a Thud

SpaceX Lands With a Thud

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