The benchmark KOSPI fell 1.1% to around 3,940 on Friday, reversing gains from previous sessions as a sharp downturn in semiconductor production pressured heavyweight tech names. South Korea posted a notable decline in October industrial output, with chip production plunging 26.5% month-on-month, triggering declines in Samsung Electronics and SK Hynix. Officials noted that the drop was largely due to a strong base effect after a sharp surge in September, even as global demand remains supported by the AI boom. Broader softness in the data added to the cautious tone, with overall output down 2.5% and facility investment tumbling 14%, weighing on manufacturing and cyclicals. Losses were seen in Samsung Electronics (-1.8%), SK Hynix (-0.7%), LG Energy Solution (-5.7%), Doosan Enerbility (-0.8%), HD Hyundai Heavy Industries (-2.9%), and Hanwha Aerospace (-2.2%). At the same time, the lack of direction from US markets during the Thanksgiving holiday left the index without external support.
