📊 sunnypoint
Market Analysis

[07/08] KOSPI -4.9% Freefall — Foreign Investors 10-Day Consecutive Selling·Semiconductor Shock·Iran Geopolitics

11 min read
[07/08] KOSPI -4.9% Freefall — Foreign Investors 10-Day Consecutive Selling·Semiconductor Shock·Iran Geopolitics

One-line summary: Yesterday, KOSPI collapsed to 7,656 points, down 395 points (-4.9%) from the previous day, giving back -16.0% from its June high (9,115 points). Foreign investors sold KOSPI for the 10th consecutive trading day, with cumulative net selling of -33.8 trillion won.


Market

Closing as of July 7, 2026 (Data: KRX)

Index Closing Price Change from Previous Day
KOSPI 7,656.31 -395.02pt (-4.91%)
KOSDAQ 831.23 -15.84pt (-1.87%)

KOSPI dropped to as low as 7,389 points during the session before closing at 7,656 points. It has given back -16.0% since its high of 9,114 points on June 22. So far this month, it has fallen 647 points from 8,303 points (July 1 closing) to 7,656 points. KOSDAQ's decline was relatively smaller compared to KOSPI (-1.9%), but it is already in a -19.2% range from its June 12 high of 1,029 points.

KOSPI Closing Price (20 trading days) Source: KRX
KOSDAQ Closing Price (20 trading days) Source: KRX

Supply/Demand Background — Foreign Investors 10-Day Consecutive Net Selling (Source: KRX)

On July 7 alone, foreign investors net sold -2.9 trillion won in KOSPI. Institutions also sold -310.8 billion won, while retail investors absorbed +3.1 trillion won. From June 24 to July 7, foreign investors have consecutively net sold for 10 trading days, with cumulative net selling reaching -33.8 trillion won during this period. The supply/demand data shows that the decline is led by foreign investor selling.

KOSPI Net Buying by Investor Type (10 trading days, trillion won) Source: KRX

Supply/Demand Points

Samsung Electronics (005930) — -9% Range During Session, Retail Panic Selling

Samsung Electronics fell to the -9% range during yesterday's session. The decline in the New York semiconductor sector (Intel -9.7%, Micron -4.7%) synchronized with the broader domestic semiconductor stocks, compounded by risk-aversion sentiment due to Iran geopolitical risks. Data from Kiwoom Securities confirms that foreign investors have cumulatively net sold -41.17 million shares of Samsung Electronics over the last 30 trading days. Technical rebound attempts may be limited until signals of improvement in foreign investor supply/demand appear.

KOSDAQ Foreign Investors — Unusual Net Buying

In KOSDAQ, foreign investors actually net bought 37.4 billion won yesterday. While institutions (-10 billion won) and retail investors (-361.6 billion won) sold simultaneously, foreign investors took the opposite position, which is interpreted as differentiated supply/demand in individual KOSDAQ semiconductor sub-sector stocks.


Announcements (Source: DART Electronic Disclosure System)

① Samsung Electronics — Share Buyback Decision (2026-07-07)

Samsung Electronics announced a share buyback decision yesterday. This is a decision to sell its treasury shares in the market, and specific scale and purpose require confirmation from the original DART document. A share buyback announcement during a bearish market phase can be interpreted as a negative supply/demand factor. (DART Registration No.: 20260707000403)

② SK Hynix — Correction of Paid-in Capital Increase Decision (2026-07-06)

SK Hynix made a correction announcement regarding the previously announced paid-in capital increase decision. Detailed information on the correction content requires confirmation from the original DART document. (DART Registration No.: 20260706000403)


Credit Ratings

Yesterday (7/7), there were no upgrades or downgrades in Korea Ratings credit rating changes. New ratings were given to Meritz Securities (Corporate Bonds AA/Stable), JB Capital (AA-/Stable), Korea Resources Corporation & Korea Midland Power (AAA/Stable), but there were no directional changes.


Macro & Today's Schedule

Interest Rates (Source: Bank of Korea ECOS, as of 2026-07-06)

Item Level
Government Bond 3-Year 3.776%
Government Bond 10-Year 4.203%
Corporate Bond AA- 3-Year 4.459%
AA- Credit Spread 68.3bps

The yield curve (10y-3y) maintained a normal slope at 42.7bps. The AA- credit spread of 68.3bps reflects overall risk-aversion sentiment but is not seen as a signal of rapid credit tightening.

Exchange Rate

The USD-KRW exchange rate was 1,531 won, down 11 won (-0.72%) from the previous day. The exchange rate stabilized slightly despite heightened Iran geopolitical risks, which is a notable factor. It has appreciated by about 20 won from 1,552 won on July 1 to 1,531 won.

Iran Geopolitical Risk — Today's Biggest Variable

The US initiated airstrikes against Iran, citing the attack on a tanker in the Strait of Hormuz, and revoked exemptions for oil trading sanctions. This caused international oil prices to surge by 3%. If Iran blocks the Strait of Hormuz or takes additional retaliatory actions, oil prices and dollar strength pressure could increase again.

Today's (7/8) Key Points to Watch

  • Further developments in the Iran situation
  • After-hours futures trend of the Nasdaq semiconductor sector
  • Whether individual investors continue buying at lows
  • Market reaction to Samsung Electronics' share buyback

Reference News Headlines

  1. US Military "Begun Strong Airstrikes Targeting Iran" — Asia Economy (2026-07-08 06:19)
  2. Semiconductor Stocks Plummet·Oil Prices Surge, US Nasdaq Down 1.2% — Yonhap News (2026-07-08 06:20)
  3. US, Revokes Oil Sanction Exemptions Following Tanker Attack in Hormuz — Asia Economy (2026-07-08 06:09)
  4. Samsung Electronics -9%, Unbearable Panic Selling — Financial News (2026-07-08 06:01)
  5. Semiconductor Rally Shifts to Sub-sectors… Need to Find Real Growth Stocks Beyond AI Beneficiaries — Chosun Biz (2026-07-08 06:01)

This briefing is automatically generated by langalpha based on public data (KRX·DART·Bank of Korea ECOS). It is not investment advice.

#Morning Briefing #Korean market

Comments

💬 GitHub Discussions comment widget (Giscus integration pending)