Volatility is one body anyway, "Split when good, split when bad"

Summary

Kim Jang-yeol, Research Center Head at Unistory Asset Management, appears in an emergency live broadcast after KOSPI plunged nearly 10% the previous day and swings wildly intraday. He analyzes the causes—global pension rebalancing, ETF leverage, and tax rumors—but stresses that valuations are cheap and the fundamental path remains intact. He advises buying leading semiconductor stocks Samsung Electronics and SK hynix on dips and warns against chasing the oversold biotech bounce.

• KOSPI fell 10% yesterday and swung from +4% to -1% intraday amid an unconfirmed rumor about Nvidia asking PCB price cuts.
• Global pension rebalancing (~$165bn), ETF two‑times leverage, and tax speculation are blamed for the exaggerated volatility.
• KOSPI’s valuation at 7.5x forward PER is cheap; fundamentals have not derailed and the sell-off was overdone.
• Samsung Electronics and SK hynix trade at a 10–20% PER discount to Micron and are recommended to buy on dips ahead of Micron’s earnings.
• The Korean biotech sector’s rally is just an oversold dead‑cat bounce lacking new catalysts, so chasing it is not advised.
• Investors are urged to focus on leading semiconductor stocks and use phased buying on weakness rather than FOMO chasing on strength.