SK Hynix stock saw a double-digit decline in Seoul on Monday, after the memory chipmaker’s notable Nasdaq debut, as a broad selloff hit Asian equities.

The pullback tracked a wider retreat across Asian markets, as renewed US strikes on Iran and a contested Strait of Hormuz pushed oil prices higher.

SK Hynix Nasdaq Debut Meets a Seoul Selloff

SK Hynix (000660) fell as much as10% during Monday trading in Seoul. The stock ranks among the heaviest weightings on the KOSPI index.

The latest decline followed the chipmaker’s listing on the Nasdaq on Friday. The company’s American depositary receipts, or ADRs, were priced at $149, raising $26.5 billion. 

The offering ranks as the largest US debut by a foreign company. The sale trailed only SpaceX’s $75 billion Nasdaq debut last month. 

Notably, SK Hynix depositary receipts climbed roughly 13% Friday in New York to close at closing at $168.01 on strong demand.

Iran Strikes Rattle Asian Markets

SK Hynix’s decline was part of a broader selloff. Samsung Electronics fell 4.21%, compounding pressure on the KOSPI, which slid 5.84% to 7,033. In Japan, the Nikkei 225 lost 0.96%, and the Topix eased 0.16% to 4,029.67.

The decline came as US-Iran tensions escalated over the weekend. Iran declared the Strait of Hormuz closed.

US Central Command rejected the closure claim and said vessels could transit. It also confirmed a fresh round of strikes on Iranian forces. CENTCOM described the operation in a post on X.

“US Central Command forces began launching more strikes against Iran to continue degrading their ability to attack civilian mariners and commercial ships freely transiting the Strait of Hormuz,”

The latest escalation, while weighing on equities, lifted oil prices. WTI crude rose 4.43% to $74.58, while Brent gained 4.35% to $79.32.

The full impact on chip stocks will surface once US markets open and the SK Hynix ADRs resume trading.

Source: BeInCrypto