Repeated Crash, Individuals Shed Tears.. Foreigners Dumped 5 Trillion, Reason for Buying 2.7 Trillion in Futures at Market Close "Broken Supply and Demand, Stock Market Manipulated by Foreigner Day Trading" | Director Park Hyun-sang

Summary

Director Park Hyun-sang discusses the July 28 market crash that sent KOSPI down 10% and KOSDAQ down nearly 11%. He argues the sell-off was driven by overblown fears about Nvidia CDS and ASML DUV, combined with supply/demand distortions from aggressive foreign short-term futures trading and forced leverage unwinding. Despite the panic, he sees semiconductor stocks and the broader index as deeply undervalued, advises against selling into the panic, and warns strongly against using inverse ETFs to chase recovery. He also highlights a potential KOSDAQ rally from August once leverage measures are finalized.

• KOSPI fell 10% and KOSDAQ ~11% with circuit breakers triggered; the largest crash in recent memory.
• The immediate catalysts were overblown fears about Nvidia CDS premiums and ASML's DUV shipment plans.
• Supply/demand is broken: foreigners sold nearly 5 trillion won in cash equities but reversed 2.7 trillion won in futures at the close, suggesting short-term manipulation.
• Semiconductor shortages will persist for years; the sell-off in Samsung Electronics and SK hynix is seen as a buying opportunity.
• Leverage unwinding and margin calls are amplifying the decline; investors are urged not to sell into forced selling.
• A securities firm issued a KOSDAQ buy call for the first time, expecting a rally from August after leverage product measures are completed.
• Investors are warned strongly against using inverse or single-stock leveraged ETFs to recover losses, as risks are extreme.
• Government is preparing tax incentive policies for semiconductors, batteries and AI that could provide future support.