South Korean Securities Firms See Q3 Semiconductor Adjustment as Temporary; AI Infrastructure Focus Gains

According to a Financial News survey of major South Korean securities research centers on July 6, leading brokerages view recent semiconductor sector volatility as a temporary speed adjustment rather than long-term industry deterioration. None of the surveyed firms interpreted the correction as a fundamental sector downturn.

KB Securities research center head Kim Dong-won stated that the adjustment stems from short-term overheating pressures and portfolio normalization rather than fundamental damage, with expectations for renewed gains following the correction. For H2 2026, most securities firms identified semiconductors as the top preferred sector, followed by AI infrastructure-related segments including IT hardware, power equipment, and transmission cables. High-bandwidth memory supply contracts are expected to expand, and memory supply-demand dynamics will remain tight through 2027, supporting continued semiconductor strength.