Seoul’s benchmark Kospi index fell more than 6% on Thursday, marking a severe continuation of the risk-off sentiment that has gripped Asian markets.
The decline was driven primarily by heavy selling in the technology sector, where major weightings suffered steep losses as investors fled equities amid growing uncertainty.
The sell-off reflects a sharp repricing of geopolitical risk.
Escalating tensions in the Middle East have weighed heavily on investor sentiment, prompting a broad-based retreat from growth assets.
Technology stocks, which have been central to the region’s recent market performance, bore the brunt of the selling pressure as traders de-risked portfolios.
This move underscores the vulnerability of Asian equity markets to external geopolitical shocks.