New York stock market sharply rebounds as US-China concerns ease... Will Samsung Electronics recover operating profit of 10 trillion won? [Morning Briefing]

◆ Previously plunging U.S. stocks all rose

As concerns over U.S.-China trade negotiation conflicts that earlier caused the New York market's plunge eased, major indexes sharply rebounded on the 13th local time. The Dow Jones index closed at 46,067.58, up 1.29% from the previous close; the S&P 500 index also rose 1.56% to 6,654.72; and the Nasdaq index climbed 2.21% to 22,694.61. Donald Trump, who on the 10th criticized China's move to control rare earth exports and announced plans to impose high tariffs, later said on SNS, "Don't worry about China. It will be fine," easing market concerns. In particular, the semiconductor sector, for which rare earths are important, led the rally, with shares of NVIDIA, OpenAI and Broadcom — the latter reported to have agreed on developing its own AI chips — jumping sharply.

◆ US and China step back with 'conciliatory gestures'

A major factor in the revived investor sentiment was both the U.S. and China stepping back from potential direct confrontation and making conciliatory gestures. President Trump sent a message saying, "Xi Jinping, the Chinese president, does not want his country to experience a recession, and neither do I." In this regard, U.S. Treasury Secretary Scott Bessent also, in a media interview, said he expects President Trump to meet with President Xi in South Korea soon, noting signs of a change in bilateral relations. China's Ministry of Commerce also took a tentative stance on the crucial rare earth export control measure, saying, "It is control, not a prohibition."

◆ Cho Hee-dae: "It's regrettable to distrust the Lee election law ruling"

Chief Justice Cho Hee-dae reiterated at the Supreme Court's parliamentary audit by the National Assembly's Legislation and Judiciary Committee on the 13th that he never had private meetings or related conversations with figures appearing in the so-called 'presidential election intervention allegations.' In a closing remark around midnight, Chief Justice Cho, expressing his personal feelings for the first time, said regarding the ruling allegations raised by the ruling party in the President Lee Jae-myung election law case, "I earnestly want to resolve the distrust." Earlier, having appeared at the audit venue at around 10:10 a.m., he remained silent amid about an hour and 30 minutes of questioning by ruling-party lawmakers related to the election intervention allegations, and did not answer questions from Committee Chair Choo Mi-ae after his closing remark.

◆ Samsung Electronics to announce preliminary Q3 results today

Samsung Electronics will announce its preliminary Q3 results today (14th). With expectations that it will exceed market forecasts due to the advent of a memory semiconductor boom, recovery from high-bandwidth memory (HBM) performance slumps, and the success of new foldable phone models, attention is focused on whether it will recover a 'quarterly operating profit of 10 trillion won' for the first time in about a year since Q2 last year (10.44 trillion won). The company's operating profit forecast, previously estimated in the mid-8 trillion won range, has recently been raised to above 10 trillion won.

◆ Cloudy nationwide with autumn rain

Today, Tuesday, the country will be mostly cloudy with rain in most regions. Expected rainfall amounts are △Gyeongsang region 10–60 mm △southern Yeongdong, Gangwon 10–50 mm △Gwangju and South Jeolla 5–40 mm △Jeju Island 5–30 mm △southern Yeongseo and central/northern Yeongdong, North Chungcheong, North Jeolla 5–20 mm △Daejeon, Sejong, South Chungcheong around 5 mm △the metropolitan area and central/northern Yeongseo less than 5 mm. Daytime highs 18–26, and fine dust levels are forecast to be 'good' nationwide.

Bonggu Kim, Hankyung.com reporter kbk9@hankyung.com