September Correction May Be Smaller Than Expected | Park Se-ik, Executive Director, Chesley Investment Advisory

Summary

Park Se-ik argues the September correction is likely to be smaller than feared because the market already experienced major drawdowns earlier this year, and he views September-October as the final hardship before a stronger market into next year. He is positive on Korean battery names such as Samsung SDI as US policy restricts Chinese batteries, sees biotech momentum in Hanmi Pharm and Moderna on potentially lower Treasury yields, and highlights semiconductor materials and equipment as a beneficiary of memory-maker capex. He also suggests watching hiring trends to confirm real semiconductor investment.

• September correction likely to be milder after earlier March and July market shakeouts.
• September-October framed as the last difficult stretch before a strong market into next May-July.
• Korean battery makers, especially Samsung SDI, expected to benefit from US restrictions on Chinese batteries.
• Biotech names such as Hanmi Pharm and Moderna seen building momentum if Treasury yields decline.
• Semiconductor materials and equipment sector should benefit from aggressive memory-maker capex.
• Hiring trends at semiconductor materials and equipment firms suggested as a confirmation signal.