A strategist at Société Générale said in a report that as investor participation declines and the profit momentum of memory chips weakens, the Korean stock market may generally remain volatile in the near future. Foreign investors sold $25 billion of Korean stocks from August to September, while retail investors in South Korea switched to sellers in September, and the capital outflow reached 10 billion US dollars. The turnover of the Korea Composite Index has dropped by about 75% from its peak in June to 20 trillion won, the lowest level this year. “The problem is no longer being forced to reduce risk exposure, but a lack of marginal buyers. “The supply of memory chips is still tight, but future price increases are expected to slow down, according to these strategists. The bank maintains a neutral position on the Korean market. The bank is optimistic about industrial and materials stocks with global capital expenditure exposure, as well as financial stocks benefiting from governance reforms.

A strategist at Société Générale said in a report that as investor participation declines and the profit momentum of memory chips weakens, the Korean stock market may generally remain volatile in the near future. Foreign investors sold $25 billion of Korean stocks from August to September, while retail investors in South Korea switched to sellers in September, and the capital outflow reached 10 billion US dollars. The turnover of the Korea Composite Index has dropped by about 75% from its peak in June to 20 trillion won, the lowest level this year. “The problem is no longer being forced to reduce risk exposure, but a lack of marginal buyers. “The supply of memory chips is still tight, but future price increases are expected to slow down, according to these strategists. The bank maintains a neutral position on the Korean market. The bank is optimistic about industrial and materials stocks with global capital expenditure exposure, as well as financial stocks benefiting from governance reforms.