Samsung Electronics slips 0.87% as SK Hynix rises 0.30% on rate concerns

  • Samsung Electronics and SK Hynix traded narrowly amid concerns over U.S. rates and oil prices.
  • Samsung Electronics fell 0.87%, while SK Hynix gained 0.30% by 9:39 a.m.
  • Yeom Dong-chan recommended neutral-or-higher semiconductor exposure despite slowdown concerns.

Samsung Electronics and SK Hynix traded in a narrow range on September 1 as investors assessed the prospect of higher U.S. interest rates and rising global oil prices. At 9:39 a.m., Samsung Electronics had fallen 2,250 won, or 0.87%, to 257,750 won, while SK Hynix had gained 5,000 won, or 0.30%, to 1,679,000 won. Large-cap semiconductor shares faced pressure from higher crude prices linked to renewed military conflict between the U.S. and Iran, alongside a sharp rise in U.S. Treasury yields. The combination raised concerns that energy costs could revive inflation and increase the likelihood of additional U.S. rate hikes. Caution over the semiconductor cycle also weighed on sentiment. Yeom Dong-chan, an analyst at Korea Investment & Securities, said chip-stock valuations remained low even if earnings estimates were reduced because of a potential industry slowdown. He recommended maintaining semiconductor exposure at neutral or above and adding cyclical sectors where an earnings recovery is becoming evident.

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Samsung Electronics slips 0.87% as SK Hynix rises 0.30% on rate concerns - CoinPost Terminal