What does an outflow of 45 billion from foreign capital matter? Retail investors flood the South Korean stock market, soaring 84% and achieving the highest gains worldwide

Glonghui, May 13 — Data shows that since the beginning of this year, foreign funds have sold more than $45 billion worth of Korea Composite Stock Price Index (KOSPI) stocks. However, purchases by local institutions and retail investors have filled this gap, and the index has risen 84% year-to-date, ranking first globally in gains. Morgan Stanley analysts wrote in a report on Wednesday: "Thanks to positive factors such as structural reforms, we believe the Korea Composite Stock Price Index still has room to rise further." The analysts raised the 12-month target price for KOSPI from 6,500 points to 8,500 points. Despite external uncertainties such as potential chain reactions from the Middle East situation, "KOSPI should be able to remain resilient".