Seoul: South Korean retail investors unloaded over 1 trillion won (US$641 billion) in overseas stocks during the first week of June, as revealed by recent data, indicating a potential shift back to the local stock market amid significant gains driven by semiconductor stocks. Local retailers recorded a net selling of $793.67 million in foreign stocks from Monday to Friday, continuing a trend that started in April, based on data from the Korea Securities Depository (KSD).
According to Yonhap News Agency, this figure significantly exceeded the net selling of $469 million in April, nearing the $939.77 million observed in May. Should this pattern persist, it will mark the third consecutive month of net selling, a streak not seen since the April-July period of 2023.
The ongoing selling trend has emerged despite record highs in the major U.S. stock indexes, including the S and P 500, the Nasdaq, and the Dow Jones Industrial Average. This has led to speculation that Korean retail investors might be poised to reinvest in the domestic stock market.
South Korea's benchmark Korea Composite Stock Price Index (KOSPI) recently surpassed 8,000 points, driven by optimism surrounding a potential resolution between the United States and Iran regarding the conflict in the Middle East.