US Stock Market Move | Storage chip concept stocks experienced a broad decline, with Seagate Technology Holdings PLC (STX.US) dropping over 6%.

On Monday, storage chip concept stocks generally fell, with Seagate Technology Holdings PLC (STX.US) dropping over 6%, Western Digital Corporation (WDC.US) down over 5%, SK Hynix (SKHY.US) declining over 4%, Micron Technology, Inc. (MU.US) down over 3%, and SanDisk (SNDK.US) decreasing over 1%. Morgan Stanley upgraded its rating on the South Korean stock market to "overweight," believing that the previous intense deleveraging phase is nearing its end. The KOSPI's valuation has fallen to historically low levels, providing a more attractive entry point for investors. The target price is set at 9,000 points, implying a 36% upside from current levels. Morgan Stanley stated that the KOSPI's forward price-to-earnings ratio has dropped to 5.7 times, a record low. Hedge funds have completed about 75% of their deleveraging, and the size of leveraged ETFs has evaporated by 70% from its peak, resulting in significant improvement in the chip structure. Capital management trends, HBM4 pricing, and the iPhone 18 release cycle are the three core catalysts for the next phase of the rise in Korean stocks.