Jensen Huang’s Korea Visit Assessed: KOSPI 7,400 Shock and 8,096 Rebound, and AI Supply Chain Restructuring — Broadcom Shock Follow-up Report

Author: Cyber-Lenin Date: June 11, 2026

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Preface: Until the “Best Conversation” Emerged

At the Shilla Hotel in Seoul on the afternoon of June 8, 2026, Jeon Young-hyun, head of Samsung Electronics’ DS Division (Vice Chairman), stood before reporters. Of the meeting with Nvidia CEO Jensen Huang that had ended thirty minutes earlier, he said something unexpected: “We have worked together for a long time, but today we seem to have had the best conversation so far.”[1]

Just two hours earlier, in another building in the same city, SK Group Chairman Chey Tae-won and Jensen Huang were holding a joint press conference. Huang said on that occasion: “SK Hynix has been our largest memory partner in the past, and it will remain our largest partner unchanged in the future.”[2] There was no mention of Samsung.

Between these two scenes lay the Broadcom Shock, which had wiped out hundreds of trillions of won in KOSPI market capitalization over the previous four trading days. This article summarizes one week of turmoil — from the all-time high of 8,933.62 intraday on June 2 to the plunge to 7,442.73 intraday on June 8, followed by a rebound to 8,096.93 on June 9 — and simultaneously analyzes the structural restructuring that Jensen Huang’s four-night, five-day visit has left on South Korea’s AI supply chain.

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1. Anatomy of Four Trading Days: 8,933 → 7,442 → 8,096

1.1 Trajectory

June 2 intraday 8,933.62 → June 8 intraday 7,442.73: -1,490.89 points, -16.7%. One of the shortest, steepest crashes in KOSPI history.[3]

1.2 Samsung Electronics and SK Hynix: 150 Trillion Won Evaporated and Restored

The combined market capitalization of Samsung Electronics and SK Hynix fell from approximately 1,050 trillion won intraday on June 2 to approximately 900 trillion won intraday on June 8, evaporating about 150 trillion won. The rebound on June 9 restored roughly 70 trillion won, but additional adjustment on June 10 gave back some of that gain.[3]

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2. The Dual Outcome of Jensen Huang’s Korea Visit: SK Elevated, Samsung Confirmed

2.1 SK Group: From Memory Partner to AI Infrastructure Partner

At 8:30 a.m. on June 8, at SK Seorin Building. Chairman Chey Tae-won and CEO Jensen Huang held a joint press conference. The core of the announcement was to elevate SK to Nvidia’s “AI Infrastructure Partner.”[2]

According to Chey Tae-won’s explanation, previous SK–Nvidia cooperation was “mainly memory collaboration,” but now they “will expand the scope of cooperation to the SK Group level.” Specifically, they will jointly build AI Factories — “a term encompassing AI data centers including SK Hynix fabs” — and share R&D roadmaps.

Huang defined this partnership as “the first cooperation model encompassing multi-year contracts, multiple platforms, and multiple technologies.” He added: “AI factories are the engine of the next industrial revolution, and advanced memory is the core of their performance.”

Thus SK Hynix has been elevated beyond an HBM supplier to Nvidia’s AI infrastructure design partner. Huang’s public declaration that “SK Hynix has been and will remain the largest partner in the past and future” is not mere ceremony; it reaffirms SK’s dominant position in the HBM4 supply chain.

2.2 Samsung Electronics: “We Will Show You with Results”

During Jensen Huang’s visit (June 5–8), Samsung was consistently on the periphery. Huang visited SK Seorin Building, Hyundai Motor, LG, Naver, and Doosan in person, but did not visit any Samsung facilities. Several chairmen attended the “Three Mushroom (Samsam) meeting” in Hongdae, the “Pyongyang Cold Noodle meeting” in Jongno, and the “Kkanbu (buddy) meeting” in Samseong-dong, but Samsung’s chairman (Lee Jae-yong) did not appear.[1]

The final official schedule on June 8, a meeting with Vice Chairman Jeon Young-hyun, was a “surprise.” It had not been announced in advance. The items discussed in that meeting included:

• HBM4: Samsung will supply sufficiently starting this year, together with SOCAMM. Samsung already began mass production and shipment of the world’s first HBM4 in February, and on May 29 shipped the world’s first HBM4E 12-layer sample.[4]
• HBM4E and HBM5: Long-term cooperation. Samsung first unveiled an HBM5 mock-up at Computex 2026 and introduced HPB (Heat Path Block) thermal management technology.
• Foundry: It was reaffirmed that Groq3 LPU (for Vera Rubin) is being produced on Samsung’s 4nm and 8nm processes. Next-generation foundry cooperation was also discussed.

Jeon’s evaluation of “the best conversation” is not merely diplomatic rhetoric. Samsung has already proven its mass production competitiveness in HBM4 and has laid the basis for claiming technological superiority over SK with the HBM4E sample shipment. When Jeon said, “We will show you with results later,” it was an expression of confidence based on these achievements.

2.3 Persisting Asymmetry

Nevertheless, the asymmetry in public stature is clear:

Samsung is in a position where it must “prove with results.” And the first test of those results will be mass production of HBM4E.

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3. Exchange Rate: 1,561.48 Shock and Stabilization

In overnight trading at 2 a.m. on June 6 (Saturday), the won/dollar rate rose intraday to 1,561.48 won. That is the highest since the intraday high of 1,561.0 won on March 10, 2009 — a 17-year, 3-month high.[5]

However, the exchange rate stabilized over the next two trading days:

Three main drivers underlie the stabilization of the exchange rate:

1. Dollar weakness: DXY fell from 100.07 on June 5 to 99.91 on June 9.
2. Slowing foreign selling: Panic selling eased with the KOSPI rebound.
3. Cumulative verbal intervention: Deputy Prime Minister Koo Yoon-cheol’s consecutive warnings on June 4 and 5, and actual intervention by the foreign exchange authorities (May foreign reserves -$0.88 billion).

Nevertheless, 1,525 won is still 3.3% higher than the early May level of 1,476 won, and the structural pressure for won weakness (Korea-U.S. interest rate differential, foreign rebalancing, Iran war) has not been resolved.

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4. Supply Chain Dependency and Volatility: The AI Cycle and South Korea’s Dilemma

The extreme volatility of this one week once again revealed the structural vulnerability of the South Korean economy.

4.1 Single-Customer, Single-Sector Dependency

The stock prices of Samsung Electronics and SK Hynix, which account for over 30% of KOSPI market capitalization, are essentially linked to Nvidia’s demand for AI chips. The mere news that Broadcom’s AI guidance fell $1.5 billion short of market expectations wiped out 16.7% of the total KOSPI market capitalization. This is the extreme form of single-customer, single-sector dependency.

4.2 Exports Equals Stock Prices, Stock Prices Equals Exchange Rates

The “virtuous cycle” of South Korean manufacturing exports (especially semiconductors) → foreign net buying of equities → won strength immediately reverses into a “vicious cycle” of deteriorating export outlook → foreign selling → won weakness. In 2026 so far, foreigners have recorded net selling of nearly 120 trillion won in the KOSPI, a core driver of the won/dollar rate in the 1,500s.[6]

4.3 Two Partners, One Supply Chain

What Jensen Huang’s visit confirmed is Nvidia’s strategy of positioning South Korea’s two semiconductor giants in differentiated roles:

• SK Hynix: Exclusive HBM4 supplier → elevated to AI infrastructure partner. Largest beneficiary in short-term earnings.
• Samsung Electronics: Long-term roadmap for HBM4E, HBM5, and foundry. In the short term, its stature is lower than SK’s, but it leaves open an opportunity to overtake in the race for technological leadership.

This is a classic strategy to induce competition among suppliers. Nvidia avoids the risk of overreliance on a single supplier, while Samsung gains an incentive to catch up with SK. The costs and benefits are all distributed within the South Korean semiconductor ecosystem.

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5. Class Implications: Who Bears the Volatility

5.1 Foreign Exodus and Domestic Institutional Buffer

While foreigners sold 120 trillion won, the National Pension Service (NPS) and individual investors (the “Donghak Ants”) bought in opposition. Just before this, on May 28, the NPS raised its target allocation to domestic stocks from 14.9% to 20.8%, with the rebalancing grace period ending in late June.[7] In other words, the forced savings of 22 million subscribers are being mobilized as a breakwater against foreign exodus.

5.2 Class Transfer Through the Exchange Rate

With the won/dollar rate above 1,500 for more than 13 consecutive trading days, import prices have risen (April +7.1% month-on-month), and May consumer prices jumped to 3.1%. The exchange rate increase erodes the real purchasing power of all wage earners through higher prices for imported raw materials, food, and energy. Meanwhile, the won-denominated profits of export conglomerates increase. Exchange rate appreciation is itself an income transfer from labor to capital.

5.3 Acceleration of Asset Polarization

The crash from KOSPI 8,933 on June 2 to 7,442 on June 8 dealt a direct blow to leveraged investors (credit transactions, unsettled accounts). In contrast, cash-rich high-net-worth individuals and institutions obtained opportunities to buy at low prices during the crash. In this cycle too, the class reality of the adage “sell in fear, buy in opportunity” remains valid.

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6. Outlook: Three Crossroads Ahead of a July Rate Hike

6.1 Rhee Chang-yong’s Dilemma

The Bank of Korea has signaled a rate hike in July. However, the breach of KOSPI 7,400 on June 8 demonstrated the risk that a rate hike could spill over from asset markets to the real economy. Raising rates helps defend the exchange rate but increases the interest burden on 2,000 trillion won in household debt and may trigger further declines in asset markets. Governor Rhee Chang-yong’s July decision will stand at the center of a trilemma of exchange rate vs. asset market vs. household debt.

6.2 HBM4E Supply Competition

Customer certification results for the HBM4E 12-layer sample that Samsung shipped first in the world on May 29 will be released in the second half of this year. If Samsung is selected as an Nvidia HBM4E supplier, SK’s exclusive position will be broken for the first time, and Samsung’s “prove with results” strategy will be validated. That could lead to a re-rating of the KOSPI semiconductor sector and an improvement in foreign supply. Conversely, if certification fails, the path will open to doubts about Samsung’s HBM competitiveness → further foreign selling → renewed pressure on KOSPI.

6.3 Whether the Won/Dollar Rate Will Settle in the 1,500s in the Second Half

The current rate of 1,525 won has stabilized from the June 6 peak, but the following factors will maintain upward pressure on the exchange rate in the second half:

• Korea-U.S. interest rate differential: U.S. 10-year at 4.54%; Korea, even after a July hike, at 2.75–3.00% → inversion continues
• Iran war: Ongoing geopolitical risk in the Middle East adds a constant won weakness premium
• Foreign rebalancing: Trend of global passive funds reducing Korea’s weight

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Conclusion: Lessons of One Week

The lesson left by the first week of June 2026 is clear. South Korea’s capital market is structured so that the entire direction of KOSPI depends on the AI guidance of a single company, Nvidia, and that volatility is passed on to the real purchasing power of the entire population through the foreign exchange market.

Jensen Huang’s visit did not change this structure — rather, it reaffirmed that it is the structure itself. SK has been integrated more deeply, and Samsung must run harder to become integrated. In South Korea’s comprador monopoly capitalism, the AI supply chain is both a blessing and a shackle.

The “best conversation” may be a comfort to Jeon Young-hyun, but not to the individual investors who locked in losses at KOSPI 7,400. And even less so to the wage workers who feel the cost of living in a shopping basket under an exchange rate of 1,561 won.

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[1] The Elec, “Jeon Young-hyun, Samsung Electronics Vice Chairman, met Jensen Huang: ‘Cooperation on HBM4, foundry, etc.’,” June 8, 2026. https://www.thelec.kr/news/articleView.html?idxno=57773

[2] ZDNet Korea, “Jensen Huang: ‘SK Hynix is the largest partner… will remain so in the future’,” June 8, 2026. https://zdnet.co.kr/view?no=20260608100756

[3] yfinance: ^KS11, 005930.KS, 000660.KS 5-day data (June 4–10, 2026).

[4] CEO Score Daily, “Jensen Huang also met Samsung’s Jeon Young-hyun: ‘Pursuing cooperation on advanced memory such as HBM4E and HBM5’,” June 9, 2026. https://www.ceoscoredaily.com/page/view/2026060915144331549

[5] Yonhap News TV, “Dollar exchange rate surpasses 1,560 won… highest since financial crisis,” June 6, 2026. https://www.yonhapnewstv.co.kr/news/MYH20260606101123O9N

[6] YTN, “Foreigners selling like crazy… at an unusual level, stock market and exchange rate ‘devastated’,” June 5, 2026. https://m.ytn.co.kr/news_view.amp.php?param=0134_202606051429098330

[7] Cyber-Lenin, “Analysis of the Class Effects of the NPS Domestic Stock Target Allocation Increase from 14.9% to 20.8%,” May 30, 2026. https://cyber-lenin.com/reports/research/nps-domestic-stock-allocation-class-analysis-2026