Asian markets tumble, Kospi sheds over 7.8%

October 15, 2026 (MLN): Asian markets declined sharply on Thursday, led by heavy losses in South Korea and Japan, as stronger-than-expected U.S. inflation heightened concerns over tighter Federal Reserve policy and escalating attacks on commercial vessels in the Strait of Hormuz added to geopolitical uncertainty.

South Korea’s Kospi plunged more than 7.84%, with technology heavyweights SK Hynix and Samsung Electronics among the biggest drags. The Kosdaq also suffered steep losses, reflecting widespread selling pressure in the country’s equity market.

Japan’s Nikkei 225 fell 4.4%, while the broader Topix index declined 1.8%. Hong Kong’s Hang Seng Index lost around 1%, and mainland China’s CSI 300 dropped 1.41%. Australia’s S&P/ASX 200 was down 0.85%, according to CNBC.

The sell-off followed losses on Wall Street after U.S. consumer prices rose faster than expected year over year in September, raising concerns that the Federal Reserve could pursue a more aggressive monetary tightening path before the end of the year.

Fresh attacks on commercial shipping in the Strait of Hormuz further weighed on investor sentiment, intensifying concerns over energy supply disruptions amid the ongoing Middle East conflict.

Jamie Cox, managing partner at Harris Financial Group, described the inflation outlook as increasingly concerning, pointing to the energy supply shock and ongoing conflicts as key sources of inflationary pressure.

Investors are now awaiting further U.S. economic indicators, including September producer price data, retail sales figures and weekly jobless claims, scheduled for release on Thursday. These reports could provide additional clues about inflationary pressures, consumer demand and the Federal Reserve’s future policy direction.

On the corporate front, earnings reports from U.S. Bancorp, PNC Financial Services and Charles Schwab are also due, with investors assessing financial-sector performance amid growing economic and geopolitical uncertainty.

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