South Korea's deputy finance minister said that the country is in close communication with Japan and its allies regarding exchange rate issues.
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South Korea's Ministry of Finance: Will closely monitor stock market volatility risks
According to Mars Finance, citing Gate data, South Korea's Ministry of Finance stated on Wednesday that Finance Minister Koo Yoon-cheol, following a meeting with the central bank governor and heads of financial regulatory agencies, agreed to closely monitor risk factors that could exacerbate stock market volatility. The Ministry of Finance stated that increased stock market volatility stemmed from profit-taking by foreign investors and institutions, portfolio rebalancing, and changes in expectations for the global AI sector. In early trading today, the South Korean KOSPI index fell as much as 4%, hitting its lowest level since May 20th, before rebounding, driven by a rally in chip stocks. The Ministry of Finance pointed out that increased concentration in the semiconductor industry has become a factor exacerbating financial market volatility.
South Korea's Ministry of Finance held an emergency meeting, warning of excessive concentration in the semiconductor sector.
According to Odaily Odaily, South Korea's Ministry of Finance announced that Finance Minister Koo Yun-cheol held an emergency meeting with the Governor of the Bank of Korea and heads of financial regulatory agencies to address the recent sharp fluctuations in the South Korean stock market. The South Korean government stated that it will closely monitor various risk factors that could exacerbate market uncertainty and prevent further market volatility. Recently, the South Korean stock market has experienced increased volatility due to factors such as profit-taking by foreign investors and institutions, adjustments in expectations for the AI sector, and portfolio rebalancing. The KOSPI index triggered its sixth circuit breaker this year this week. In a statement, the South Korean government said, "The excessive concentration in the semiconductor industry has become a core factor amplifying financial market volatility, and the transmission effect of fluctuations in the chip sector on the overall market is constantly increasing." (Jinshi)
South Korea, together with Samsung, SK and other companies, launched a 312 trillion won investment plan, focusing on the semiconductor and aerospace industries.
According to Mars Finance, South Korean Deputy Prime Minister and Minister of Strategy and Finance Koo Yoon-cheol announced on July 3 that the country will encourage major corporations to invest over 312 trillion won (approximately US$204 billion) in the southeastern region (Yeongnam region) to develop advanced manufacturing and AI industries. Specifically, SK Group, Samsung, Hanwha, and Hyundai Motor will invest approximately 140 trillion won, 60 trillion won, 55 trillion won, and 42 trillion won respectively, focusing on semiconductors, AI, and aerospace. LG and Doosan will also follow suit with investments. In addition, South Korea also announced a national space strategy centered on Sacheon, aiming to create a southern coastal aerospace industry belt. (Cailian Press)
Japanese and South Korean stocks closed lower, with South Korean stocks falling more than 5%.
According to Gate data, the Nikkei 225 Odaily closed down 1437.91 points, or 2.11%, at 66819.05 on Wednesday, July 8. The South Korean KOSPI index closed down 409.53 points, or 5.35%, at 7246.78 on Wednesday, July 8. The index briefly triggered a temporary trading halt during the session and has now fallen about 20% from its June high, approaching a technical bear market.
Japanese and South Korean stock markets closed lower, with South Korean stocks triggering a second circuit breaker during trading.
PANews reported on July 7th that, according to Jinshi, the Nikkei 225 index closed down 1480.73 points, or 2.12%, at 68256.96 on Tuesday, July 7th. The South Korean KOSPI index closed down 395.41 points, or 4.91%, at 7655.92 on Tuesday, July 7th, having fallen more than 8% intraday, triggering a second circuit breaker. Among individual stocks, SK Hynix closed down 6%, and Samsung Electronics fell nearly 7%.
Japanese and South Korean stocks closed lower on Thursday, with South Korean stocks falling more than 7%.
According to BlockBeats, on July 2nd, based on Bitget data, the Nikkei 225 index closed down 1741.81 points, or 2.47%, at 68733.15. The South Korean KOSPI index closed down 655.32 points, or 7.89%, at 7648.09, its lowest closing level since June 8th. SK Hynix shares closed down nearly 13%, and Samsung shares closed down nearly 9%.