GS Jee GS KOREA FINAL LATE SESSION RETREAT

GS Jee - GS KOREA FINAL LATE SESSION RETREAT 22 Sep 2026 Emily Jee · Goldman Sachs · FICC & Equities Tue 22 Sep 2026, 3:38am ET

KOSPI gapped higher at the open and traded above its 7,100-handle for most of the morning session, but sharply dipped as insto bids (FII + local instos) cooled in the PM, particularly in Tech. Foreigners and local instos were joint net buyers in the AM, but local instos eventually ended the session as net sellers,

while foreigners ended as marginal net buyers (+U$56mn). Meanwhile, Other Corporates (+$1.2bn) remained as primary net buyers, providing support to the broader index. SK HYNIX(000660) -1.5% pared all of its earlier gains to close in the negative territory, seemingly as profit-taking flows emerged. SEC(005930) +0.9% also erased its morning gains but outperformed Hynix ahead of its dividend record date. Semiconductor package substrates held onto their gains more firmly into the close (LGI(011070) +4.4%, SEMCO(009150) +4.0%, SIMMTECH(222800) +13.3%), while Nuclear names (HD E&C(000720) +4.5%) popped on news of clearer progress on the US investment package. KOSPI turnover was +12.9% vs. 20D average. KRW appreciated by 110bps to W1,359.5.

SEMIS (=): SEC(005930) +0.9% and SK HYNIX(000660) -1.5% gapped higher at the open (rising as much as +3.5% and +3.6% respectively), buoyed by SOX +4.3% on enthusiasm surrounding META's AI application 'Muse' {NSN TLQDLKVTTCZP <GO>}, but retraced their early gains into the afternoon as insto bids cooled. No smoking gun on the fade, but the pullback appeared partially driven by technical profit-taking as both names briefly broke above their 100DMAs. Meanwhile, second derivatives in AI such as semiconductor package substrates held more firmly onto their gains, with LGI(011070) +4.4%, SEMCO(009150) +4.0%, DOOSAN(000150) +2.9%, SIMMTECH(222800) +13.3% all closing in positive territory. In SEC, both foreigners (+$159mn) and local instos (+$54mn) ended as net buyers, while both net sold in SK HYNIX (-$297mn by FIIS and -$212mn by local instos). Retail investors were net sellers (-$584mn in SEC and -$321mn SK HYNIX), while Other Corporates continued to be inflow supports (+$376mn in SEC and +$830mn in SK HYNIX).

NUCLEAR (+): HD E&C(000720) +4.5% and DOOSAN ENERB(034020) +1.4% saw a pop on intraday news that Korea is making progress in negotiations with US over a potential 5-10% stake in Westinghouse. Subsequent local reports flagged that i) S.Korea's Industry Ministry has discussed acquiring 5-10% stake in Westinghouse at a 10% discount to its IPO price, with Korea expected to secure voting rights but no board nomination rights, and ii) S.Korea's first project under its US investment pledge is a gas-fired power plant in Texas, while weighing constructions of eight nuclear power plants and Alaska LNG development projects as the next two. In HD E&C, local instos and retail investors were joint net buyers, while foreigners profit-took.

* LG (+): LG(003550) +4.7% and Microsoft reportedly agreed to expand their strategic AI partnership following a meeting between LG Group Chairman Koo and Microsoft CEO Satya Nadella in Redmond. The meeting was attended by senior executives from LG's key affiliates, including LGE(066570) +6.9% CEO Ryu, LG U+(032640) +0.6% CEO Hong, and LG CNS(064400) +3.0% CEO Hyun. Report notes that the partnership combines LG's capabilities in data-center cooling, power and IT infra, manufacturing- focused physical AI, and workplace transformation with Microsoft's global cloud and data-center platform. Separately, LGE saw further strength, buoyed by news that Co's 2.5MW coolant distribution unit (CDU) has been approved by NVIDIA as a "DSX Ready CDU", following earlier approvals for its 600kW and 1MW models. In LGE, foreigners and local instos net bought (+$59mn/+$37mn), while retail investors net sold -$99mn.