Global Markets Retreat as South Korea Slumps

Only 1 of the 8 tracked markets managed a gain on Thursday, October 8. The board was led by United Kingdom +0.7%, while South Korea -4.0% lagged the furthest behind. Across the world, the whole-world fund finished -0.6%, moving in the same direction as US holdings as the S&P 500 fund closed -0.4%.

These figures come from US-listed exchange-traded funds rather than local exchanges directly. An entry like Japan is how Japan looked to a US investor at the New York close. For anyone holding US shares, these numbers show how foreign equity funds performed during American trading hours, even when overseas bourses were closed or operating on different schedules.

The sharpest move on the board came from South Korea -4.0%. Selling hit the local market as rising oil prices, elevated bond yields, and falling technology shares weighed on global markets. Key semiconductor producers fell, including Samsung Electronics, which dropped 2.4%. Institutional selling intensified into the close, amplified by options expiration and exchange-traded fund rebalancing, alongside the conclusion of a major share repurchase program.

By contrast, United Kingdom +0.7% provided the only positive return on the board. In domestic trading, surging oil prices and geopolitical concerns weighed on British shares. Corporate news also provided selective support, with grocery retailer Tesco gaining after raising its annual profit outlook. Other international markets drifted lower in step with New York, including Japan -1.0%.

Calendar factors also shaped trading during the session. In South Korea, selling pressure intensified as options expiry and ETF rebalancing compounded de-risking ahead of the scheduled Hangeul Day public holiday, when the Korea Exchange and the Bank of Korea observe official closures.