SEOUL, February 27 (AJP) — A correction hit Seoul and Tokyo on Friday after this week’s record-setting rally, while Chinese and Hong Kong stocks remained mostly sidelined ahead of next week’s closely watched “Two Sessions,” China’s annual legislative and political advisory meetings.
A tech-led pullback on Wall Street overnight weighed on Asian semiconductor shares, reversing part of the strong gains seen earlier in the week.
The Dow Jones Industrial Average edged up 0.03 percent to close at 49,499.20, while the S&P 500 fell 0.54 percent to 6,908.86 and the Nasdaq Composite dropped 1.18 percent to 22,878.38.
AI bellwether Nvidia slid more than 5 percent to $184.89 — its steepest single-day decline since April last year — despite posting earnings and revenue guidance that beat expectations. The move underscored investor unease over stretched valuations and concerns about AI’s broader impact across industries.
Other semiconductor names followed lower. AMD fell 3.4 percent, TSMC declined 2.8 percent, Micron Technology lost 3.1 percent and Broadcom slipped 3.2 percent.
The mood carried into Asia.
In Seoul, Samsung Electronics fell 1.49 percent and SK hynix dropped 3.46 percent in morning trade, reversing part of the previous session’s roughly 7 percent surge in both stocks. The two chipmakers, key suppliers to Nvidia, had led Thursday’s rally.
As of 10:59 a.m., the benchmark KOSPI declined 2.11 percent to 6,170.18, while the tech-heavy KOSDAQ slipped 0.53 percent to 1,181.71.
Foreign investors continued to trim positions, posting net sales of 3.5436 trillion won. Individual investors and institutions stepped in as buyers, net purchasing 3.1064 trillion won and 337.7 billion won, respectively.
The Korean won weakened against the U.S. dollar for the first time in three sessions, with the greenback rising 4.70 won to 1,437.20 won.
In Tokyo, semiconductor-related shares also came under early pressure, adding to the downside. The Nikkei fell 0.84 percent to 58,260.38 in morning trading.
Large-cap stocks outside semiconductors showed mixed performance.
Hyundai Motor dropped 2.13 percent to 596,000 won and Kia lost 3.40 percent to 199,000 won. SK Square fell 5.60 percent, while Samsung Life Insurance declined 4.18 percent.
In biotech and battery plays, Samsung Biologics slipped 0.54 percent and LG Energy Solution edged down 0.12 percent.
Defense and shipbuilding names moved in the opposite direction, reflecting selective rotation. Hanwha Aerospace rose 1.76 percent, HD Hyundai Heavy Industries advanced 1.52 percent and Hanwha Ocean gained 1.00 percent.
Entertainment shares rebounded after an extended decline, with HYBE up 0.51 percent, JYP Entertainment edging 0.14 percent higher and YG Entertainment surging 6.45 percent.
On the KOSDAQ, Samchundang Pharm extended its rally, rising nearly 11 percent after announcing a 5.3 trillion won technology transfer deal for an oral obesity treatment. The stock, which hit the daily upper limit the previous day, climbed to a new 52-week high of 838,000 won.
China-related stocks remained relatively muted ahead of the “Two Sessions,” scheduled from March 4 to around March 11.
The meetings of the National People’s Congress and the Chinese People’s Political Consultative Conference are expected to unveil China’s annual economic targets and outline the 15th Five-Year Plan for 2026–2030.
Investors are watching for signals on growth support, fiscal stance and industrial strategy, particularly amid intensifying trade friction with the United States.
Elsewhere in Asia, the Shanghai Composite edged up 0.10 percent to 4,150.96, while Hong Kong’s Hang Seng Index rose 0.57 percent.
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