Nomura sees Kospi doubling to 10,000 as fundamentals hold

South Korea's Kospi plunged to a nine-month low amid fears that US political shifts could slow AI infrastructure spending and hurt chip demand. However, Nomura remains bullish, projecting a potential recovery towards 10,000, with a near-term target of 7,500–8,000. The index fell 9% on Friday to 4,911, following Wall Street's worst day in over a year, as Democrat election gains raised concerns about tighter regulation and slower data centre expansion. Nvidia dropped over 9%, while Micron and AMD fell sharply. The Kospi had nearly tripled before its June peak, driven by memory chip prices and Samsung and SK Hynix earnings. It has since fallen 46% from that record high, with analysts warning of an AI trade unwinding and unclear earnings estimates.