SK hynix ADR plunges 5%... Was it weighed down by ‘₩203 trillion’ dual-listing speculation?

[Financial News] SK hynix’s American depositary receipt (ADR) plunged more than 5% on the New York stock market. International oil prices and Treasury yields rose across the board after uncertainty surrounding Iran fueled concerns about higher oil prices and inflation, strengthening expectations of further interest rate hikes by the Federal Reserve (Fed).
On the 29th, Korean time, the Dow Jones Industrial Average (DJIA) fell 347.11 points, or 0.67%, from the previous session to close at 51,481.51. The S&P 500 dropped 59.72 points, or 0.77%, to 7,683.69, while the Nasdaq Composite Index declined 248.34 points, or 0.92%, to 26,820.38. The S&P 500’s one-day decline was its largest since August 20.
Memory semiconductor stocks were particularly hard hit. SK hynix ADR fell as low as $179.31 during the session before closing at $181.92, down $9.64, or 5.03%, from the previous trading day. Micron Technology, which is scheduled to report quarterly earnings on the 30th, also fell 2.61% to close at $1,053.98. Advanced Micro Devices (AMD) declined 3.61% to $607.87, while Broadcom fell 0.92% to $349.57.
Rising tensions between the United States and Iran weighed on investor sentiment. International oil prices rose after the United States rejected Iran’s “seven-day plan.” Inflation concerns then pushed the 10-year U.S. Treasury yield above 5.2%, intensifying selling pressure.
Some analysts also said reports that Solidigm, SK hynix’s NAND subsidiary, was pursuing a U.S. listing may have weighed on the stock. The concern is that a separate listing by the subsidiary could reduce the parent company’s value. Solidigm is considering a U.S. listing as early as next year, with its valuation reportedly reaching as high as $150 billion, or about ₩203 trillion.
[email protected] Kim Hee-sun Reporter