--- title: "S Korea Stocks Slump 10% on Report of Further Tightening Oversight on Single-Stock Leveraged ETFs; Samsung, SK hynix Tumble 13% Each; Nikkei, Taiwan Stocks Each Drop Over 4% as Semiconductor Shares Face Sell-off" type: "News" locale: "en" url: "https://longbridge.com/en/news/294008301.md" description: "South Korean stocks plummeted 10%, triggering a circuit breaker, as Samsung and SK hynix tumbled 13% each. The slump was driven by reports of tighter oversight on single-stock leveraged ETFs. Broader Asian markets also fell sharply: Japan's Nikkei dropped over 4%, Taiwan's index declined more than 4%, and China's ChiNext fell over 5%. Semiconductor shares faced widespread sell-offs across the region." datetime: "2026-07-28T04:12:00.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/294008301.md) - [en](https://longbridge.com/en/news/294008301.md) - [zh-HK](https://longbridge.com/zh-HK/news/294008301.md) --- # S Korea Stocks Slump 10% on Report of Further Tightening Oversight on Single-Stock Leveraged ETFs; Samsung, SK hynix Tumble 13% Each; Nikkei, Taiwan Stocks Each Drop Over 4% as Semiconductor Shares Face Sell-off The US continues to pause strikes on Iran, while international oil prices extended losses of more than 1% in Asian trading. Markets are focusing on this week's interest rate meetings by the Federal Reserve and the Bank of Japan. Foreign media reported that China has started mass production of domestically developed DUV lithography machines. Overnight (27th), the three major US stock indices showed mixed performance, but chip equipment stocks plunged. ASML Holding N.V. - New York Registry Shares (ASML.US) closed down 5.8%, while Applied Materials, Inc. (AMAT.US) , Lam Research Corporation (LRCX.US) and KLA Corporation (KLAC.US) fell 3.4% to 4.5%. SK hynix Inc. (SKHY.US) ADR closed down 7.5% at USD143, below its July 9 listing price of USD149. NVIDIA Corporation (NVDA.US) slumped 5% amid reports that it is discussing guarantees of up to USD250 billion with OpenAI to support AI expansion, though the market has begun questioning such "closed-loop transactions". Major Asia-Pacific stock markets generally moved lower today (28th), with S Korea suffering the sharpest losses as stocks slumped 10%. China's ChiNext Index dropped more than 5%, while Japanese and Taiwanese equities each fell over 4%. In mainland China, the three major A-share indices traded lower in the morning session. The Shanghai Composite Index fell 37 points or 1% to 3,820 by midday. The Shenzhen Component Index dropped 483 points or 3.4% to 13,664. The ChiNext Index declined 192 points or 5.4% to 3,397. Hong Kong stocks last traded at 25,216, up 9 points or less than 0.1%, with turnover at HKD133.222 billion. Taiwan stocks tumbled 1,888 points or 4.3% to 41,746. TSMC fell 3% and Hon Hai dropped 4.7%. MediaTek and Delta Electronics plunged 9.2% to 9.7%, while UMC and memory stock Nanya Technology hit limit down. The Nikkei index reversed the previous day's gains. After opening down 391 points, losses widened sharply in the morning session, with the index plunging 2,884 points or 4.44% by midday to 62,046. Semiconductor-related stocks faced broad sell-offs in line with external markets. Memory stock Kioxia (285A.JP) plunged 18.1%, while chip stock Sumco (3436.JP) dropped 14.3%. Chip equipment-related stocks Lasertec (6920.JP), Disco (6146.JP), Tokyo Electron (8035.JP), Renesas Electronics (6723.JP), Advantest (6857.JP) and SCREEN Holdings (7735.JP) fell 10.1% to 12.4%. SoftBank (9984.JP) dropped 6.3%. Major MLCC manufacturers also slumped, with Murata Manufacturing (6981.JP) plunging 11.2% and Taiyo Yuden (6976.JP) falling 9.7%. South Korea's KOSPI was last down 687 points or 10.2% at 6,068. A circuit breaker was triggered during trading, suspending stock trading for 20 minutes, marking the eighth circuit breaker this year. Samsung Electronics plunged 13%, while SK hynix tumbled 13.7%. Hanwha Aerospace fell 4%. Major MLCC maker Samsung Electro-Mechanics plunged 17.8%. Hyundai Motor dropped 9.4% and Kia fell 6.7%. South Korean media reported that the Financial Services Commission of South Korea stated during a meeting with brokerages and asset management firms that it would review and prepare additional measures to curb demand for single-stock leveraged ETFs, including setting caps on the total investment amount in such ETFs for retail investors. Singapore stocks fell 0.2%. Malaysia's KLCI dropped 0.3%, while Indonesia's IDX edged down 0.1%. Philippine stocks were steady. Australia's ASX 200 Index rose 0.4%, while New Zealand's NZX 50 Index edged up 0.1%. Vietnam's HNX fell 0.4% and the VNI declined 0.3%. Thailand's market was closed for a holiday. 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