EWY iShares MSCI South Korea ETF : Bullish and Bearish Analyst Opinions

Taiwan and Korea well-positioned for A.I.

Upgraded EM to overweight.

Asia and Europe exposed to energy shock.

Long tech-heavy Asian markets on AI demand.

Used as a vehicle to gain exposure to memory chip stocks, which are benefiting from rapidly improving fundamentals, explosive AI demand, and constrained supply.

Bullish on global equities, especially Korea and Taiwan.

Asian economies at risk from oil blockade.

The author expects the iShares MSCI South Korea ETF to rebound higher on a positive geopolitical resolution in the Middle East.

The speaker's firm maintains a "country preference for South Korea" because memory remains a key bottleneck in the AI ecosystem, and they forecast ~140% earnings growth for South Korea this year. The market has gotten cheaper as prices haven't kept up with significant earnings upgrades, and the underlying AI supply chain fundamentals remain firm. If the Middle East event risk can be overcome, the valuation and growth outlook for South Korean equities, particularly in tech, is constructive. A significant escalation or prolonging of the Middle East conflict that triggers a broad risk-off event impacting all equities.

Korean retail investors are explicitly stating they are staying away from their domestic stock market. Global macro instability and energy shocks disproportionately hurt export-heavy, energy-importing nations like South Korea. Avoid South Korean equities and prioritize capital preservation. The market may be oversold if global tensions unexpectedly cool.

The options were fairly priced rather than expensive, and the basis risk was too high to justify the trade.

Short South Korean equities (EWY) because the geopolitical conflict is exposing the structural weakness of a market rally that was too concentrated in a few stocks.

The CEO of Korea's National Pension Service stated Korea is "becoming one of the most affected victims" and "suffering the most damage" from the war due to heavy reliance on Middle Eastern oil and a large petrochemicals sector. The energy shock directly hits Korea's industrial base and input costs. The CEO confirmed the NPS's returns are being "significantly impacted" by the resultant stock market weakness. Korea's high structural exposure to Middle East energy makes its economy and equity market particularly vulnerable to prolonged conflict, representing a concentrated risk. A swift end to the war or a successful domestic shift to alternative energy sources.

Timothy Moe said Goldman Sachs remains constructive on Korea, with 130% earnings growth forecast for 2026 and the market trading at less than 8 times earnings, offering attractive risk-reward. Despite near-term pressures from the oil shock, Korea's strong semiconductor exports and current account surplus provide flexibility, and the market is overly negative on policy tightening. Korean equities are undervalued with high growth potential, making them a bullish opportunity for longer-term investors. Escalation in the Iran war or prolonged oil shock could further dampen sentiment and growth.

Jablonski said "Korea may be undervalued and that good news may be yet to come." Korean equities have seen price volatility on energy concerns, but fundamentals remain attractive. As energy prices moderate and global demand for chips and electronics persists, the economy is well-positioned. Positive on Korean equities due to attractive valuations and positive fundamental outlook. A renewed energy price shock or a slowdown in global trade and tech demand.

The author is maintaining a long position in EWY despite macro headwinds from oil/war tensions, expecting the underlying strength of heavyweights Samsung and SK Hynix to drive the index higher.

The tweet expresses a personal preference for the iShares MSCI South Korea ETF without providing any actionable financial analysis or market outlook.

Felix states he is "short Japan, short South Korea, short Europe." These regions are most exposed to the Hormuz Strait energy shock (high import dependence) and have central banks with limited flexibility to support growth, creating an economic vulnerability. Their equities are more effective shorts than broad U.S. indices like the NASDAQ to express a view on the global energy crisis. A swift de-escalation and reopening of the Strait, coupled with massive, coordinated global central bank stimulus.

The author gives an explicit recommendation to avoid exposure to South Korean equities (Kospi).

The tweet provides a link to a chart for the iShares MSCI South Korea ETF without additional commentary.

The author presents a specific short trade setup in the South Korea ETF ($EWY) based on a favorable technical risk/reward profile, with a clear invalidation level and defined profit targets.

The author plans to buy EWY on potential dips caused by rising energy costs.

Short the South Korea ETF (EWY) as Citigroup's forecast for aggressive rate hikes to 3% this year will likely tighten financial conditions and act as a headwind for equities.

This structural reform in South Korea is designed to improve corporate governance and reduce shareholder dilution, which could help close the "Korea discount" and lead to a re-rating of the country's equities.

A central bank board member is explicitly stating that downside risks to the South Korean economy are on the rise, signaling a negative forward outlook.

The reported approval of Samsung's HBM4 memory by NVIDIA's CEO is a major positive catalyst, implying future demand and revenue for the company, which is the largest component of the South Korea ETF.

The author expresses strong optimism for the semiconductor supply chain and related stocks following Nvidia's capacity expansion comments.

we get less than 1% of our oil from the strait and some countries get much more. Japan gets 95%, China gets 90%. Many of the Europeans get quite a quite a bit. South Korea gets 35%. Asian manufacturing economies are critically exposed to Middle Eastern energy flows. If the US reduces its naval presence in the region and forces these countries to secure their own supply lines, the risk premium on their energy imports will skyrocket. Any disruption in the strait would cause severe energy inflation for these nations, crushing industrial margins and slowing their broader economic growth compared to energy-independent nations like the US. AVOID. Heavy reliance on imported energy through vulnerable chokepoints creates a structural headwind for Asian equities if US naval hegemony recedes. These countries could successfully transition to alternative energy sources, secure overland pipelines (in China's case), or negotiate bilateral security agreements that keep energy flowing cheaply.

"We get less than 1% of our oil from the strait. And some countries get much more. Japan gets 95%, China gets 90%... South Korea gets 35%. So we want them to come and help us with the straight." The US is signaling a withdrawal from its historical role as the sole guarantor of maritime security in the Middle East. If Asian economies are forced to secure their own energy supply chains, they face either massive increases in defense spending or severe economic vulnerability to oil price shocks and shipping disruptions. WATCH. Asian equity markets heavily dependent on Middle Eastern energy imports face a structural geopolitical risk if US naval protection becomes conditional. These nations successfully form a multilateral coalition to protect shipping lanes, neutralizing the economic threat without significant domestic disruption.

"I think in particular, Europe is very, very exposed as are many other Asian countries, particularly Northeast Asian countries." Europe, Japan, and South Korea are heavily reliant on imported energy to power their manufacturing bases. A spike to $200 oil would severely damage their trade balances, spike local inflation, and likely trigger deep industrial recessions, crushing their domestic equity markets. SHORT European and Northeast Asian broad market equities due to their acute vulnerability to energy supply shocks. A swift resolution to Middle East tensions lowers energy import costs, allowing these manufacturing-heavy economies to recover and avoid recession.