The breathtaking rally in South Korean stocks hit acouple of key milestones overnight.
The benchmark Kospi index at one point in the session wasup 100% for 2026, rivaling the Nasdaq 100 Index’s 102% surge in 1999 - right before the bubble burst...
Samsung (005930) was up 2.7% and SK Hynix (000660) soared 9.3% rallying to new record highs mainly on three things:
1) overnight backdrop of SOX +5.5% driven by MU +19% strength,
2) launch of leveraged ETF instruments including 14 products that track 2x the return, and 2 inverse products that track -2x the return of SEC(005930) and SK HYNIX(000660), and
3) reports of SEC's union members voting in favor of a compensation deal and separately, that SK Hynix is making efforts to strengthen its long-term supply agreements via more favorable terms such as higher prepayment and ultra-long tenors of five years or more.
Flow-wise, foreigners extended their net-selling streak in SK HYNIX to 14 consecutive days, selling -$156mn today, while they've also ended as marginal net sellers in SEC (-$54mn).
Local instos were net buyers in both names, as they added +$928mn in SK HYNIX and +$330mn in SEC, whileretail investors profit-tookin both names (-$723mn in SK HYNIX and -$240mn in SEC).
Themarket value of memory-chip maker SK Hynix surged above $1 trillion for the first timeas investors bet the AI boom will lead to a sustained revaluation of the industry.
Both now larger than Berkshire and Eli Lilly.
Source: ZeroHedge News
