Why the world’s best-performing stock market this year fell into bear territory

The South Korean stock market, which earlier this year was the best-performing globally, has now entered bear territory, with a significant 5% drop on Wednesday pushing it 20% below its June high. This downturn is largely attributed to the tech sector, particularly chipmakers like Samsung and SK Hynix, as global demand for semiconductors remains uncertain amidst geopolitical tensions and supply chain disruptions. This shift underscores the vulnerability of even the strongest markets to global economic shifts and highlights the importance of diversification and resilience in investment strategies.