[Goldman Sachs Quick Commentary on Korean Stocks: AI Orders Provide Tailwind but Deleveraging Pressure Persists, Retail Investors Increasing Positions Against the Trend] BlockBeats News, July 27: On Monday, the Korean stock market surged in early trading before reversing into a decline. The KOSPI index initially rose over 1% at the open, buoyed by AI-related news from Samsung Electronics, SK Hynix, and Naver. However, chip stocks came under pressure ahead of earnings reports and retreated, causing the index to turn negative. According to Reuters data, as of press time, the KOSPI was down 0.76%, trading at 6,639.97 points. Goldman Sachs' Korea opening report noted that overnight Korean futures fell 2.8%, and EWY traded at a 0.6% discount to net asset value, indicating that external risk appetite remains cautious. However, the decline in oil prices and positive developments in Korea's memory chip supply chain may provide short-term support for the market. On the news front, the report mentioned that Samsung Electronics has reportedly secured a chip manufacturing contract worth over $200 billion from Broadcom, with the partnership extending through 2030 and focusing on processes at 2nm and below. SK Hynix is said to have reached a multi-year AI memory supply agreement with NVIDIA, with a potential value of up to $500 billion. For Naver, NVIDIA plans to invest approximately $1 billion to support the expansion of its AI data center in Korea, with Naver's stock outperforming the broader market in early trading. Liquidity conditions remain tight. The report highlighted that the margin loan balance of Korean retail investors has dropped from a peak of $25 billion to $22 billion, while the scale of leveraged ETFs has decreased from $53 billion to $26 billion, indicating that deleveraging in the market is ongoing. Meanwhile, Korea's five major banks saw a net outflow of 41 trillion won in demand deposits in a single month, suggesting that some retail investors view the recent pullback as a re-entry opportunity. On the trading front, semiconductors remain the main theme, but there is growing divergence in capital flows. Goldman Sachs data shows that foreign and institutional investors have recently been net sellers of heavyweight chip stocks like SK Hynix and Samsung Electronics, while retail investors have been buying SK Hynix, Samsung Electronics, Samsung Electro-Mechanics, Hyundai Motor, and SK Square. In the short term, the AI order narrative remains attractive, but earnings pressure and deleveraging trends are likely to cap the rebound.