KOSPI’s 8% Drop Triggers Circuit Breaker as Tech Selloff Hits Asia

South Korea’s Korea Composite Stock Price Index (KOSPI) index crashed by more than 8% on Monday. This prompted the stock market to halt trading for 20 minutes after a US-led semiconductor selloff battered Asian markets. 

The benchmark sank 8.4% to 7,477 after opening, tripping a circuit breaker. The Korea Securities Dealers Automated Quotations (KOSDAQ) also dipped more than 7%.

Follow us on X to get the latest news as it happens 

Why Tech Stocks Led the Crash

Samsung Electronics and SK Hynix both fell about 10% intraday. The two chipmakers dominate the KOSPI, so their losses dragged the whole index lower.

The selloff also spread to other Asian markets. Japan’s Nikkei 225 fell 3.4% as losses widened across the region. Market jitters were fueled by escalating tensions in the Middle East.

In addition, the downturn had already gathered momentum after a sharp selloff on Wall Street. On Friday, the Nasdaq Composite plunged 4.18% to 25,709.43, marking its steepest one-day decline since April 2025.

Investors reacted to a stronger-than-expected US jobs report for May, which prompted traders to scale back expectations for Federal Reserve rate cuts this year.

The data pushed Treasury yields higher and intensified concerns that elevated borrowing costs could weigh on technology companies making substantial investments in artificial intelligence infrastructure.

Crypto Holds Firm as Risk Assets Wobble

Cryptocurrencies broke from the equity slide on Monday. Bitcoin (BTC) traded near $63,020, up about 2.7% over 24 hours, according to BeInCrypto Markets data.

Ethereum (ETH) climbed roughly 6% to $1,680. The gains followed weeks of steep losses across digital assets during the wider selloff.

However, Bitcoin still sits more than 45% below its October 2025 record of over $126,000. Persistent spot Bitcoin exchange-traded fund (ETF) outflows have weighed on prices.

The upcoming sessions may reveal whether crypto continues to resist the risk-off mood gripping global markets.

Subscribe to our YouTube channel to watch leaders and journalists provide expert insights

The post KOSPI’s 8% Drop Triggers Circuit Breaker as Tech Selloff Hits Asia appeared first on BeInCrypto.