The KOSPI hit a record high for the fifth consecutive trading session, edging close to the 8,000 mark. The combined market capitalization of Korea's stock market surpassed 7,000 trillion won for the first time. The rally was driven by retail investors engaging in near-panic buying of semiconductor-led market leaders, as fears of missing out (FOMO) spread amid concerns of being "left behind" in the stock surge.
According to the Korea Exchange on Tuesday, the KOSPI closed at 7,822.24, up 324.24 points or 4.32 percent from the previous session. A buy-side sidecar was triggered for the first time in three sessions since the 6th of this month, and the index intraday surged to 7,899.32, approaching the 8,000 level. The combined market capitalization of the KOSPI and KOSDAQ reached approximately 7,085 trillion won. The market cap has grown by more than 1,000 trillion won in about eight trading sessions since first surpassing 6,000 trillion won on the 27th of last month.
Retail investors have been the driving force behind the recent KOSPI bull market. While foreign investors net sold 3.94 trillion won, retail investors net bought 3.11 trillion won and institutions net bought 824.8 billion won. When accounting for exchange-traded funds (ETFs) within institutional net buying that received inflows of retail money, the figure grows even larger. Over three trading sessions, retail investors purchased 12.83 trillion won worth of shares on the main bourse, absorbing 15.53 trillion won in selling pressure from foreign investors during the same period.
Samsung Electronics (005930.KS) and SK hynix (000660.KS), where retail buying was concentrated, both hit fresh highs and led the KOSPI's gains. Samsung Electronics closed at 285,500 won, up 6.33 percent, while SK hynix surged 11.51 percent to close at 1.88 million won. SK hynix rose in the global market cap rankings from 16th to 14th, narrowing its gap with Samsung Electronics (11th) to three spots.
However, the concentration deepened, with only 151 stocks on the KOSPI advancing while 738 declined. The KOSPI 200 Volatility Index (VKOSPI), known as Korea's fear gauge, closed at 65.60, up 8.38 percent, raising concerns over amplified volatility following the short-term surge.
"There are really no chips available." With these words from Jay Y. Lee, Samsung Group stocks exploded — and here's why failing to buy now could be a lifelong regret.
