South Korea's benchmark KOSPI index entered a bear market on Wednesday, July 8, 2026, plunging an additional 4 percent to 7,347 points.
The decline followed heavy losses in major technology stocks and massive foreign investor sell-offs, extending losses for a third consecutive session.
>>> Iran Strikes US Bases in Bahrain and Kuwait After Airstrikes and Sanctions
Just one day earlier, the Korea Exchange triggered a 20-minute trading halt via a circuit breaker when the index plummeted over 8 percent on Tuesday.
Foreign Investors Lead Sell-Off
Foreign institutional investors turned into net sellers, offloading shares worth 471.7 billion won ($311.68 million) in the South Korean stock market.
Tech heavyweights like Samsung Electronics and LG Energy Solution both slid 4 percent on Wednesday.
Market experts noted that the sharp selloff was accelerated by Tuesday's 10 percent crash in Samsung shares, which occurred despite the company forecasting a 19-fold surge in second-quarter operating profit.
"Samsung's strong earnings were widely expected and had largely been priced in after its shares rallied ahead of the results," said Albert Yong, a managing partner at Petra Capital Management.
>>> K2 Airways Cargo Plane Vanishes After Reporting Navigation Issue
The drop reflected deeper anxieties regarding global technology valuations, mirroring a simultaneous correction in the U. S.
market where the Nasdaq fell over 1 percent amid chipmaker volatility.
"Investors remain concerned about the sustainability of the AI boom and the risk of slower AI infrastructure spending by major U.
S. technology firms," Yong added.
>>> Memphis Grizzlies Acquire Center Quinten Post from Warriors
Despite the recent three-day plunge, the KOSPI remains the world's best-performing major stock market index in 2026, maintaining a 74 percent year-to-date advance fueled by the AI semiconductor expansion.
