South Korea's Stock Market Hits Record High After Lee Jae Myung's Election

Strategic Insights -

South Korea's stock market reached an all-time high after 100 days of Lee Jae Myung's presidency, with the Korea Composite Stock Price Index (KOSPI) surpassing its previous record. The rally was driven by foreign investors, who have bought a record 10.16 trillion won ($7.3 billion) in stocks since Lee's inauguration on June 4. This surge in investor confidence comes as Lee had pledged to bring about a "Kospi 5,000" era and eliminate the "Korea discount" through his economic policies.

Key Takeaways:

  • The KOSPI index hit a record high of 3,317.77 points on Wednesday, surpassing its previous record of 3,316.08 seen on June 25, 2021.
  • The index closed at 3,314.53, up 1.67%, exceeding the previous record of 3,305.21 set on July 6, 2021.
  • Foreign investors purchased a record 1.37 trillion won ($986 million) in stocks on Wednesday, contributing to the market surge.
  • The Kospi index has risen 22.8% since June 4, marking the sharpest increase observed under any recent administration over a similar time period.
  • Lee Jae Myung's election has brought in a new era of investor confidence, with foreign investors buying a record 10.16 trillion won ($7.3 billion) in stocks since his inauguration.
  • The Japanese Nikkei 225 stock index also closed at a record high of 43,837, up nearly 0.9%, while the Shanghai Composite closed higher with 3,812.22 points, up 0.13%, and the Hang Seng was up 1.01% with 26,200.26.

Statistics:

  • KOSPI index: 3,317.77 points (record high)
  • Previous KOSPI record: 3,316.08 (June 25, 2021)
  • Index close: 3,314.53 (up 1.67%)
  • Previous KOSPI record close: 3,305.21 (July 6, 2021)
  • Foreign investors' buying spree: 1.37 trillion won ($986 million) on Wednesday
  • Cumulative foreign investors' buying since June 4: 10.16 trillion won ($7.3 billion)
  • KOSPI index increase since June 4: 22.8%
  • Japanese Nikkei 225 index: 43,837 (record high, up 0.9%)
  • Shanghai Composite index: 3,812.22 (up 0.13%)
  • Hang Seng index: 26,200.26 (up 1.01%)

Sources:

  • Anadolu Agency
  • The Korea Herald