"Stock Crash? It's Only Just Beginning", "Sidecar Has Become a Morning Alarm"... Retail Investors Scream Amid Unprecedented KOSPI Roller-Coaster

Semiconductor Shock Triggers Market Panic
First Double Circuit Breakers for Two Consecutive Days
Mixed Self-Deprecation and Anger Among Investors on SNS

On July 29, the Korean stock market experienced yet another record-breaking plunge for the second consecutive day, leading to the unprecedented simultaneous activation of circuit breakers in both the KOSPI and KOSDAQ markets for the second day in a row. As a result, anxiety and anger among individual investors are spreading widely across social networking services (SNS). Particularly, investors are expressing their emotions through self-deprecating memes amid the deepening declines, especially in the semiconductor sector.

On the 29th, the KOSPI index was displayed in the dealing room at the Seoul headquarters of Hana Bank. On this day, the KOSPI initially showed an increase of 1-2% but then reversed to a decline, falling below the 6000 point level. Photo by Yonhap News.

KOSPI and KOSDAQ Plunge Over 8%...Both Markets See Circuit Breakers for Second Consecutive Day

According to the Korea Exchange, the circuit breaker was triggered in the KOSDAQ market at 12:19 p.m., suspending trading for 20 minutes. About 13 minutes later, at 12:32 p.m., the circuit breaker was also activated in the KOSPI market. At the time of activation, the KOSDAQ index was down 56.85 points (8.05%) at 649.00, while the KOSPI index dropped by 491.33 points (8.15%) to 5,532.33 compared to the previous close.

This marks the 15th circuit breaker activation in the history of the KOSPI market and the ninth occurrence this year, while for the KOSDAQ market, this is the 14th in history and the fourth this year. The previous day also saw circuit breakers triggered in both markets as the KOSPI and KOSDAQ recorded intraday drops of 11% and over 8%, respectively. This is the first time in history that circuit breakers have been triggered simultaneously in both representative markets of the Korean stock exchange for two consecutive days.

The KOSPI had never seen circuit breakers activated for two consecutive days before. In the KOSDAQ, it has only happened twice before: during the global financial crisis in 2008 and following the U.S. credit rating downgrade in 2011.

Semiconductor-Driven Shock...Direct Hits on Samsung Electronics and SK hynix

This steep decline is attributed to the convergence of weakness in semiconductor stocks on the U.S. market and news regarding China's development of Deep Ultraviolet (DUV) lithography equipment, which have fueled concerns over intensified global semiconductor competition. In fact, major names such as Micron (-8.85%), AMD (-8.15%), Intel (-5.86%), and Qualcomm (-4.21%) all dropped, and the Philadelphia Semiconductor Index fell 4.49% for the fourth consecutive day of losses.

In the domestic market, Samsung Electronics and SK hynix were hit particularly hard. As of 2 p.m., Samsung Electronics was down 11% to 195,800 won, while SK hynix plunged by 17.03% to 1,286,000 won. This is the first time since April 13 for Samsung Electronics and since May 6 for SK hynix that their stock prices have hit these levels during regular trading hours.

"Riding the Train to Hell"...Retail Investors Express Collective Frustration

The market shock is directly reflected in the reactions of individual investors. On X (formerly Twitter), real-time trending topics included "KOSPI," "KOSDAQ," "Samsung Electronics," "SK hynix," "circuit breaker," "leverage," and "sidecar," all indicating the market turmoil.

Investors voiced their frustration, posting remarks such as: "Did a stock market abuse scandal just erupt?", "Sidecar is now just a morning call," "They say the decline hasn’t even started, but the entire nation is on the train to hell," "The losses are so big I can’t even sell," and "My salary just vanished before my eyes."

Some investors shared screenshots of their accounts showing losses in the hundreds of millions of won, highlighting the severity of the situation. Losses were particularly pronounced among those who invested in leveraged products. One individual investor who had invested in leveraged products linked to Samsung Electronics and SK hynix revealed a loss of approximately 1.4 billion won, lamenting, "I became destitute overnight."

Sarcastic Memes Spread Amid the Market Crash

As the stock market plunge continues, a variety of memes reflecting the situation are rapidly spreading across SNS. Parodies even featuring North Korean leader Kim Jong Un have appeared, with investors satirizing the market freefall in self-deprecating ways.

One of the most notable memes is the "stock refund" meme, which was sparked by a post from an SNS user referencing SK Group Chairman Chey Tae-won and asking, "Is it possible to get a refund on SK hynix shares?" The post garnered thousands of likes, with comments such as, "I bought them just a week ago, please refund," and "I got the wrong color," reflecting the collective sentiment of investors.

These stock-related memes appear to act as more than just humor; they serve as a form of "social device" for sharing investment losses and alleviating emotional distress. As the population of retail investors has surged, the volatility of the market is increasingly directly tied to individuals’ everyday emotions.

Posts related to SK hynix posted on social networking services. Netflix’s "True Education" · SNS Captures

Oversold Territory vs. Further Decline...Mixed Outlooks

In the securities industry, there are differing views on whether the market is entering an oversold zone ripe for a technical rebound, or whether there is room for further correction. However, ongoing uncertainties surrounding the semiconductor sector remain a burden. Even though SK hynix reported an operating profit for the second quarter of 6.05426 trillion won, up 557.2% from the previous year, it still fell short of market expectations (6.35526 trillion won), which could further dampen investor sentiment.

Experts suggest that while the possibility of a short-term rebound remains open, investors should be cautious about aggressive chasing or risky "averaging down" strategies. Given the sharp volatility in the market and the potential for expanded losses among retail investors, experts emphasize the need for calm and rational investment decisions.

This content was produced with the assistance of AI translation services.