SK Hynix's earnings beat expectations but still fell short of forecastsThe proximate trigger for the latest leg of the selloff was an earnings report from chipmaker SK Hynix. SK Hynix shares fell more than 9% in the immediate aftermath of the report, with the stock sinking even further during intraday trading. Intensifying competition from Chinese memory chip manufacturersA separate but related concern has been the rapid narrowing of the technological gap between South Korean chipmakers and their Chinese counterparts. That anxiety compounded the earnings-driven selling, giving investors an additional structural reason to reduce exposure to Korean chip stocks beyond the immediate disappointment tied to SK Hynix's results. The index, which had only recently topped 9,000 points, is now down more than 39% from its 52-week high.