South Korean retail investors "sell the top" in U.S. stocks, selling over 1 trillion won worth of overseas stocks this week

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BlockBeats News, June 7 — Yonhap News Agency today released data showing that South Korean retail investors sold over 10 trillion won worth of overseas stocks in the first week of June, continuing the net selling trend since April. This scale far exceeds the $469 million in April and has already approached the record of $940 million for the entire month of May. If the selling continues until the end of the month, it will mark the first time since April to July 2023 that there have been three consecutive months of net selling. Notably, this sell-off occurred against the backdrop of the three major U.S. stock indices repeatedly reaching new highs, with market expectations that retail funds may flow back into South Korea.

The Korea Composite Stock Price Index (KOSPI) broke the 8,000-point milestone at the end of May, led by semiconductor stocks. South Korean retail investors are cashing out at high levels in the U.S. stock market and returning to the domestic market to reallocate assets.

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