$SK Telecom(SKM.US) dropped by more than ten points, $Franklin FTSE South Korea(FLKR.US) fell by five or six points.
A defensive telecom stock dropping this much usually isn't a sector issue, but rather a company-specific problem; however, the index product weakening in sync indicates that Korean assets as a whole are being reduced. The trading volume of $SK Telecom(SKM.US) reached 1.7 times the average volume, confirming that the selling pressure is genuine.
Korea has recently been under valuation pressure from the semiconductor sector. Even high-dividend telecom stocks are being sold off, indicating that the reduction targets country-level exposure rather than industry-level exposure 😧 Those using Korean assets for diversification didn't get the benefits of diversification this time.
The copyright of this article belongs to the original author/organization.
The views expressed herein are solely those of the author and do not reflect the stance of the platform. The content is intended for investment reference purposes only and shall not be considered as investment advice. Please contact us if you have any questions or suggestions regarding the content services provided by the platform.
