00:00It's Tuesday, October 27. Here's why global investors are paying attention to Korea today.
00:06The KOSPI just dropped to its lowest level in 7 months. Korea's stock index fell 1.46% to 5
00:13,469.47,
00:16down roughly 40% from its June peak. Foreign investors sold 697.2 billion won net on the day.
00:23Meanwhile, the one swung more than 241 in a single year, the most volatile in 11 years.
00:30Let's look at what's behind it. Here's what the numbers show.
00:33The KOSPI closed at 5,469.47, down 80.83 points on Monday. Foreign investors sold 697.2 billion won
00:43in the regular session, and trading volume fell to 12.01 trillion won, the lowest of the year.
00:49The one hit a high of 1,561.5 per dollar on June 5, then fell to 1,321.2
00:57on October 22.
00:59That's a 15.4% move in a single year. Average intraday swings reached 14.11, up 22% from
01:07last
01:07year. Annualized volatility stands at 10.1%, the highest since 2015. Here's what the numbers show.
01:15Samsung Securities cut its fourth-quarter KOSPI ceiling from 12,600 points to 8,400.
01:22Goldman Sachs lowered its 12-month target from 12,000 to 9,000, a 25% cut.
01:29Analysts at Daishin Securities now see a range of 5,200 to 6,700 for the fourth quarter.
01:35Most major forecasts sit well below the 8,000 level that had been widely expected.
01:40So what does this mean for global investors weighing Korea exposure?
01:44The sell-off is tied to doubts about the durability of AI investment,
01:48U.S. rate policy, and a shrinking pool of buyers. Foreign investors have turned net sellers,
01:54and retail demand has faded. Hedging costs are rising alongside currency volatility,
01:59which makes sizing and timing critical. Earlier, we said Korea's market was being repriced on AI and
02:06rates. Here's what that actually means for you. Position sizing and currency hedging now matter as
02:12much as the equity call itself. What to watch, the KOSPI's ability to hold near 5,469, and whether
02:19the one volatility keeps climbing. That's today's AI Prism, global investors. This episode was produced
02:26with AI assistance based on Seoul Economic Daily Reporting. AI Prism is a Juan Ifra award-winning series.
02:33We'll be back tomorrow.
02:36We'll be back tomorrow.
