South Korea Stocks Trigger Trading Halt as AI Selloff Sweeps Asia — What the Intraday Plunge Means

November 6, 2026 — Market update: South Korea’s benchmark KOSPI plunged more than 8% during Friday’s trading, triggering a temporary circuit breaker, before recovering part of its losses. The move extended the global repricing of technology and artificial-intelligence stocks after Thursday’s steep Wall Street decline. The figures below describe intraday moves, not a confirmed closing result.

What happened in Seoul?

Reuters reported that the KOSPI briefly fell more than 8% to a nine-month low, prompting a 20-minute trading halt. The index subsequently pared its decline to around 3.9% at the point covered in the report. Chipmakers Samsung Electronics and SK Hynix were among the companies affected. Those changing figures should not be mistaken for a final settlement.

Why the selloff spread

The shock followed a broad US technology retreat on November 5. The Associated Press reported that Japan’s Nikkei was down around 5.7% by midday and that South Korean equities had also fallen sharply. Investors are reassessing whether AI data-centre investment can keep growing at the pace previously expected, particularly amid financing costs, stretched valuations and uncertainty about future policy. This does not establish that AI infrastructure projects have actually been cancelled.

Why the circuit breaker matters

A trading halt temporarily interrupts transactions during unusually severe price moves. It is designed to give markets time to absorb information, not to guarantee a rebound or establish a fair price. Reuters reported that South Korean officials met to discuss market volatility and measures affecting leveraged retail investors.

What to watch next

The key questions are whether the Korean market stabilizes by its official close, whether foreign investors continue selling semiconductor shares, and whether AI infrastructure companies announce actual changes to spending plans. This article will require a separate update once official closing prices are available.

Sources: Reuters, November 6, 2026; Associated Press, November 6, 2026. Reporting cutoff: early November 6, 2026; all market moves described as intraday unless expressly identified otherwise.

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