KOSPI Jumps 3.29% After a Sharp Drop, Why Did It Rebound So Fast?

KOSPI 5,735.66, up 3.29%!

KOSPI rose sharply to close on October 21.

KOSDAQ also finished at 792.76, up 1.38%.

Both are based on yesterday's confirmed closing prices.

Retail investors said:

"It fell over 3% yesterday, and now it's up this much in a single day..."

A headline had read 'Both indexes down over 3%, KOSPI near 5,500.'

This is the rebound number that came after that sharp drop.

Still, no headline in today's batch explains the reason for the rebound.

So we don't force a cause and only list what is confirmed.

The numbers first

KOSPI: 5,735.66 (+3.29%)

KOSDAQ: 792.76 (+1.38%)

KOSPI moved more than twice as much as KOSDAQ.

That reads as large caps, which carry heavy index weight, swinging harder.

Where did US stocks gain overnight?

Healthcare: +2.37%

Real estate: +1.70%

Utilities: +1.26%

IT and semiconductors: -0.28%

On the latest trading day, defensive sectors led in the US while IT and chips lagged.

Weakness in chips is the first number to check at today's open.

Where is the money going?

The headlines mix in several catalysts.

Apple: Loop Capital downgrade, concerns over slowing iPhone sales

Palantir: valuation worries and signs of improving profitability arrived together

Nvidia: AI chip capital flows in focus

Earlier, HBM weakness headlines included SK Hynix at -5.72% and Hanmi Semiconductor at -4.72%.

Whether the rebound holds, or chips slide again, is what to watch today.

Were crypto and rates quiet?

Crypto ETFs recorded net outflows of $5.5 million on October 20.

On Polymarket, the chance that the Fed raises rates by more than 50bp after its October meeting is 'No' at 100%.

The chance that Bitcoin falls to $50,000 by December 31 is 'No' at 94%.

These are prediction market numbers and do not guarantee outcomes.

Who pressed and who held?

Pressing down

• US IT and semiconductors - -0.28%, chip weakness continues
• Apple - downgrade headline, pressure on big tech
• Palantir - valuation concerns, pressure on AI software

Holding up

• KOSPI - +3.29%, closed higher after a sharp drop
• KOSDAQ - +1.38%, closed higher alongside
• US healthcare - +2.37%, the broader market stayed defensive

Please treat this as reference only.

PickStock 💡

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※ Figures are as of the time of writing and may change.
This content is for informational purposes only and is not investment advice.