Kospi: 10% Crash Triggers Circuit Breaker on Chip Deleveraging

Kospi plunged 10% and tripped its circuit breaker for the second time this month after SK Hynix and Samsung dropped more than 12% each on reports the memory maker is slowing its newest chip expansion to focus on lower-priced commodity grades. Korean investors who loaded up on borrowed money now face forced liquidation that turned a routine pullback into a full halt. JPMorgan flagged up to $165 billion in global equity selling from quarter-end rebalancing through June 30, while nine Fed officials project at least one rate hike this year and markets price a 70% chance by September. Violent wicks in USD/JPY point to possible yen intervention that disrupts the yen carry trade unwind, hitting gold, silver and equities simultaneously. The Nasdaq closed down 2.33% and futures point to another 2.5% drop, with Alphabet off 5% on AI talent exodus.