SK Hynix fell nearly 10% the day after its US listing. After South Korean regulators warned of overheating in the chip sector, the KOSPI index fell nearly 10% on June 23, triggered a circuit breaker on June 26, and fell about 9% on July 13 due to risks related to Iran, triggering another circuit breaker. After selling on June 23rd, Nasdaq fell more than 2%, and after KOSPI fell on July 13th, Nasdaq closed down 1.55%. SK Hynix oversubscribed by about 7 times on the US stock market, incorporating highly leveraged and volatile Korean stocks into the US investor portfolio. Korea's retail leverage magnified the volatility of the chip sector, affecting global AI demand expectations, while the US treasury bond bond repriced to tighten liquidity.
