Weekly Market Review - October 31, 2026

Prepared by Sangyong’s Market Intelligence

Executive Summary

Week Character: US Weakness / Korean Recovery

The week of October 26-30, 2026 was characterized as US Weakness / Korean Recovery. US markets finished modestly lower with the S&P 500 at -1.46% and the Nasdaq at -2.79%. 2 of 7 Magnificent 7 stocks advanced on the week. Korean markets closed sharply higher, with KOSPI at +4.78% and KOSDAQ at -0.39%.

The 10Y Treasury yield rose 9 bps to 5.05%, with little impact on equity multiples. The Korean won weakened 0.45% against the dollar — a negligible FX effect.

Key stat: Divergent markets — cross-asset selectivity mattered more than directional bets.

Weekly Performance Summary

U.S. Magnificent 7

Korean Market Leaders

Indices

Currency (KRW/USD)

• Monday: ₩1,326
• Friday: ₩1,332
• Weekly Change: +0.45% (KRW weakened — USD stronger)
• Impact: Negligible FX impact this week.

U.S. 10-Year Treasury Yield

• Monday: 4.96%
• Friday: 5.05%
• Weekly Change: +9 bps
• Implication: +9 bps — rising yields pressure high-multiple growth stocks; materially restrictive.

Weekly Trends and Themes

1. US Market Performance

S&P 500: -1.46% | Nasdaq: -2.79% | Dow: -1.19%

The S&P 500 fell -1.46% for the week, with Nasdaq leading the decline at -2.79%. Selling was broad — no sector provided meaningful shelter.

Magnificent 7: 2 of 7 Mag7 stocks advanced. Best: Tesla (+1.89%), worst: Alphabet (-11.83%).

Takeaway: Consolidation week — no tactical change needed.

2. Korean Market Performance

KOSPI: +4.78% | KOSDAQ: -0.39% (weekly)

KOSPI surged +4.78% — a strong weekly gain suggesting genuine institutional re-entry, not just short-covering.

KOSDAQ essentially flat (-0.39%), underperforming KOSPI — investors preferring large-cap stability.

Among Korean blue chips: SK Hynix led (+7.83%), Hyundai lagged (-3.63%).

Takeaway: Strong week for Korean markets — partial position add appropriate.

3. Currency Impact (KRW/USD)

Weekly KRW Move: +0.45% ₩1,326 → ₩1,332

The won weakened modestly (+0.45%, ₩1,326 → ₩1,332) — a mild headwind for USD investors in Korean stocks.

Investor Implication: Minor FX impact; no immediate hedging action needed.

Export sector note: Stable KRW — no meaningful FX-driven earnings revision expected.

4. Treasury Yields

10Y: 4.96% → 5.05% (+9 bps)

The 10Y yield drifted higher by +9 bps to 5.05% — a modest rise, not enough to drive a major equity repricing.

Market Implication: Mild headwind for high-multiple names; monitor direction next week.

5. Key Weekly Observation

• Korea outperformed the US by 6.2pp this week — unusual divergence; watch for foreign net buying data to confirm institutional re-entry.
• Wide Mag7 dispersion this week (13.7pp between best and worst) — stock-pickers’ market; index-level moves understate individual name volatility.

Best and Worst Performers

Best (Weekly Upside Movers):

• SK Hynix: +7.83% ███████████████
• Samsung: +3.28% ██████
• Tesla: +1.89% ███
• Apple: +0.01%
• Microsoft: -2.05% ████

Worst (Weekly Declines):

• Amazon: -3.80% ███████
• NVIDIA: -5.94% ███████████
• Alphabet: -11.83% ████████████████████

Commentary:

SK Hynix was the standout winner at +7.83% — a weekly gain of this size reflects either strong earnings catalysts, analyst upgrades, or a short-covering squeeze. Verify whether the move is fundamental or technical before chasing.

Alphabet was the clear laggard at -11.83% — a decline of this magnitude warrants a fundamental review. Check whether this reflects a company-specific negative (guidance cut, regulatory headwind) or macro pressure.

4 of 10 stocks advanced. Negative breadth — more stocks declining than advancing.

Weekly Review Compiled: October 31, 2026 at 12:10 PM Analysis Period: October 26 - 30, 2026 Data Sources: Daily market reports, Naver Finance, Yahoo Finance, FRED