SEOUL, December 16 (AJP) - Asian equities opened Tuesday broadly lower, tracking subdued U.S. market sentiment as lingering concerns over AI valuations and looming interest-rate decisions by European and Japanese central banks weighed on risk appetite.
In Seoul, the KOSPI fell 1.5 percent to 4,028 as of 10:30 a.m., extending losses for a second straight session after dropping 1.8 percent on Monday.
Institutional investors were net sellers of 223 billion won ($151 million), while foreign investors sold 150 billion won, doubling down on bets that the market’s recent rally is losing momentum. Retail investors, however, continued to buy—net purchasing 386 billion won—as they positioned for a potential year-end “Santa rally,” mirroring the previous day’s flow.
The Korean won traded at 1,471.3 per dollar as of 10 a.m., up 0.5 won from the prior session. The modest appreciation was attributed to foreign selling in local equities and the extension of the foreign-exchange swap arrangement between the central bank and the National Pension Service.
Large caps mixed as investors rotate to defensives
Market heavyweights showed divergent moves. SK hynix slid 1.3 percent to 545,000 won, breaking below the 550,000-won threshold, while Samsung Electronics was flat at 104,500 won, suggesting a rotation toward relatively defensive blue-chip names amid rising uncertainty.
Hyundai Motor fell 2 percent to 287,500 won, extending Monday’s losses, as reports suggesting its autonomous-driving technology lags rivals such as Tesla, BYD and GM by as much as five years continued to pressure sentiment. Hyundai Engineering & Construction plunged 5.35 percent to 69,300 won for a second consecutive day, amid concerns that its energy and AI campus project with Fermi America may collapse. The Hyundai conglomerate is also expected to announce a sweeping C-suite reshuffle this week.
Hyundai Mobis, the de facto holding company of Hyundai Motor Group, dropped 1.5 percent to 359,000 won, tracking the weak performance of its affiliates.
Korea Zinc erased the previous session’s gains, plunging 11.6 percent to 1.4 million won. While the company confirmed plans to build a 2 trillion won smelter in the United States, investor sentiment cooled after it emerged that the U.S. government’s direct equity contribution would amount to only about 2 percent of total project costs.
Biotech shares bucked the broader weakness for a second day. Samsung Biologics rose 1.1 percent to 1.79 million won, extending gains after its affiliate Samsung EpiHolding surged a day earlier.
KOSDAQ underperforms, robots retreat
The tech-heavy KOSDAQ fell more sharply, down 1.7 percent to 923. Foreign investors sold 246.3 billion won, while institutions offloaded 63.6 billion won. Retail investors stepped in with net purchases of 340 billion won.
Robot-related stocks led declines. Rainbow Robotics dropped 3.9 percent to 459,000 won, while Robotis slid 5 percent to 295,000 won.
Biotech names also struggled to maintain momentum. Alteogen, which recently decided to transfer its listing to the KOSPI, fell 2 percent to 425,000 won, while ABL Bio, after surging Monday, slipped 1.9 percent to 192,000 won.
Japan, Taiwan, China follow regional downtrend
Japan’s Nikkei 225 fell 0.95 percent to 49,695 as of 10 a.m., with semiconductor-related stocks again under pressure. Ibiden declined 1.9 percent to 11,600 yen ($74.8), and Kioxia Holdings dropped 2.75 percent to 8,945 yen. Advantest was flat at 19,470 yen, as some investors saw signs of a near-term bottom.
Toyota edged down 0.2 percent to 3,344 yen, with losses moderating as investors gravitated toward stable blue-chip names—echoing patterns seen in Seoul.
Taiwan’s TAIEX fell 0.6 percent to 27,691. TSMC slipped 1 percent to 1,435 Taiwan dollars ($45.7), while MediaTek rose 1.8 percent to 1,445 Taiwan dollars, supported by stronger demand from China and favorable reviews of its new Dimensity 9500 chipset.
Mainland Chinese markets were subdued. The Shanghai Composite dipped 0.4 percent to 3,850, while the Shenzhen Component fell 0.3 percent to 13,072. Hong Kong’s Hang Seng Index declined 0.7 percent to 25,450, a milder drop than Monday despite its closer correlation with U.S. markets.
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