Micron Shares Continue to Slide Despite Trump's Praise; KOSPI Plunges 7.9% in a Single Day
Miles Bennett
Micron's stock kept sliding despite a public endorsement from President Trump, and the selloff spread to South Korea, where the KOSPI crashed 7.89% in a single session — not a one-company story, but a sector-wide retreat across memory chips at stretched valuations.
A presidential shout-out couldn't stop the bleeding — what happened?
Micron fell another 2.4% in pre-market Thursday to $1,007.88, after dropping 10.57% the prior session.
Trump called Micron "one of the hottest companies anywhere in the world" on Truth Social. The market ignored him.
This means → when a stock is up 262% year-to-date, even a presidential endorsement cannot overpower profit-taking.
Why did Trump single out Micron?
Micron announced a $250 million investment in "Trump Accounts" this week.
Trump Accounts are tax-advantaged savings accounts for children under 18; those born between 2025 and 2028 receive a $1,000 initial deposit from the U.S. Treasury.
In plain terms = Micron put money behind the president's policy initiative, and the president returned a compliment — but Wall Street prices on valuation, not social-media posts.
Why did South Korea get dragged in?
The KOSPI closed down 7.89% Thursday. SK Hynix plunged 14.57%; Samsung Electronics fell 9.06%.
SK Hynix and Samsung together make up roughly half the KOSPI's total weighting. Both compete directly with Micron in high-bandwidth memory — HBM, the ultra-fast memory built for AI training.
This means → all three companies share the same customer base (chiefly Nvidia). Once Micron sold off, the market repriced the entire memory-chip supply chain in a single session.
Will this pullback turn into a trend reversal?
Despite the dramatic single-day drop, the KOSPI is still up 81% year-to-date — far above the S&P 500's roughly 9.3% gain over the same period.
Micron remains up 262% for the year. This correction looks more like profit-taking at stretched levels than a fundamental breakdown.
This reflects a sector where the underlying business has not deteriorated, but gains were too fast and too concentrated — any tremor triggers a sharp adjustment. The upcoming earnings season will determine whether this is a short-term shake-out or a genuine turning point.
Content is for reference only, not financial advice.