Seoul snaps its rally: KOSPI down 0.6% as SK hynix falls 1.8% on the Nvidia report
The KOSPI closed at 5,342.73 on Thursday, down 0.61%, ending a two-day rally after giving back an early climb above 5,400; SK hynix fell 1.80% to ₩1,254,000 on the Wall Street Journal's report that Nvidia's board is preparing to oust Jensen Huang, while Samsung rose 0.97% to ₩208,000.
The News
The KOSPI closed at 5,342.73 on Thursday, down 32.63 points or 0.61%, ending the two-day rally — up 4.39% on Tuesday and 2.60% on Wednesday — after giving back an early climb above 5,400. SK hynix fell 1.80% to ₩1,254,000 and Samsung Electronics rose 0.97% to ₩208,000. The divergence between the two memory giants is the story.
The trigger was the Wall Street Journal report that Nvidia's board is preparing to oust chief executive Jensen Huang, which sent Nvidia shares down more than 8% in after-hours trading, according to Bloomberg and other outlets. SK hynix is seen as the most Nvidia-exposed of the two: Mirae Asset analyst Kim Young-gun told Aju Press its high-bandwidth memory exposure to Nvidia is relatively larger than Samsung's. The KOSDAQ slipped 1.2% to 696.5, back below 700, according to Aju Press. Samsung Electro-Mechanics tumbled 4.01% to ₩886,000 and Hanmi Semiconductor retreated 1.14% to ₩181,900.
The two-day rally that preceded Thursday was itself a strong one — the KOSPI had gained about 7% across Tuesday and Wednesday — so a 0.61% pullback is modest in context. But the split between SK hynix and Samsung shows the market is already pricing in who is most exposed to Nvidia's leadership crisis, and who has the breadth to ride it out.
Seoul's two memory giants split: the one closest to Nvidia fell, the broader one held.
Why It Matters
Seoul is the world's memory proxy. SK hynix and Samsung make the high-bandwidth memory that Nvidia's AI chips run on, so when Nvidia's board story broke, Seoul was the first market open to price it in. Thursday's session is the cleanest read on how the market weighs the two companies' exposure — and it weighed SK hynix as the riskier one.
The divergence is the useful part. Samsung rose 0.97% on the same day SK hynix fell 1.80%, on the same news. That is not noise: Samsung's business spans phones, displays, foundry work and memory, while SK hynix is far more concentrated in the memory that goes into Nvidia's chips. When the risk is Nvidia-specific, breadth is a shield.
The pullback is small in context. The KOSPI had gained about 7% in two days before Thursday, so a 0.61% decline is a breather, not a break. What matters is what comes next: a board decision on Huang, then Nvidia's earnings on November 17. Seoul will keep trading as a proxy for that story until it is resolved.
The sell-off also spread beyond the two memory giants, which is worth noting. Samsung Electro-Mechanics tumbled 4.01% to ₩886,000 and Hanmi Semiconductor retreated 1.14% to ₩181,900, and the KOSDAQ slipped 1.2% to 696.5, back below 700. That breadth says Thursday was not just a SK hynix story — the whole Korean chip complex felt the Nvidia news, even if Samsung itself held its gains.
Analyst's Take
Our call is Mixed. Thursday was a small pullback after a strong two-day rally, not a reversal — the KOSPI gave back 0.61% of roughly 7% in gains. But the split inside the market is the real signal: SK hynix fell because its fortunes are tied to Nvidia's, while Samsung rose because its business is broader. Until Nvidia's board question is answered, that split is likely to persist.
What to watch: any board decision on Huang, and Nvidia's earnings on November 17. If Huang stays, SK hynix should recover fastest — it fell furthest on the news. If he goes, the question becomes how long the leadership transition takes, and whether Samsung's breadth keeps it the safer of the two Seoul memory names.
Are you bullish or bearish on this story?
By The Numbers
FAQ
What is the KOSPI?
The KOSPI is South Korea's main stock market index — a basket of the biggest companies listed in Seoul, including Samsung and SK hynix. When it falls 0.61%, it means the average large Korean stock lost value that day.
Why did SK hynix fall more than Samsung?
SK hynix is seen as the most Nvidia-exposed of the two. Mirae Asset analyst Kim Young-gun noted its high-bandwidth memory exposure to Nvidia is relatively larger than Samsung's, so when Nvidia shares fell more than 8% after hours on the report that its board is preparing to oust Jensen Huang, SK hynix took the bigger hit. Samsung, with a broader business, held its gains.
What is HBM?
HBM stands for high-bandwidth memory — a specialised type of memory chip stacked in layers and placed next to AI processors, where it feeds them data far faster than ordinary memory. Nvidia's AI chips use HBM from SK hynix and Samsung, which is why Seoul's memory stocks move on Nvidia news.
What is the KOSDAQ?
The KOSDAQ is South Korea's second stock market, home to smaller and more growth-oriented companies — roughly the equivalent of the Nasdaq. It slipped 1.2% to 696.5 on Thursday, back below 700.
What happens next?
The next tests for both names are any board decision on Huang and Nvidia's earnings on November 17, a date Nvidia confirmed in its October 28 notice. Seoul's memory stocks will keep trading as a proxy for Nvidia until the leadership question is answered.
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Source: K-VIBE (Yonhap)