Unstable Korean Stock Market: The Real Reason It Ended in a Plunge After a Surge / Samsung Electronics, SK Hynix, Should You Sell at Year-End? | Growth Hill Asset Management CEO Kim Tae-hong

Summary

Kim Tae-hong of Growth Hill Asset Management discusses the sharp volatility in Korean markets, the semiconductor correction, and why he does not recommend exiting markets. He explains rising US Treasury yields are driven by strong growth and AI-related bond issuance, views US equities as not in a bubble, and suggests staying invested while watching next year's supply risks. For Korea, he sees a semiconductor re-entry opportunity and a broadening into non-semiconductor sectors, while flagging a semiconductor supply surge by next year's second quarter.

• Korean volatility stemmed from semiconductor profit surges plus leveraged crowding, but has partly subsided.
• Samsung Electronics and SK hynix are viewed as re-entry candidates after the sharp correction.
• Rising US 10-year yields toward 5% are driven by growth, AI capex funding, and big-tech bond issuance crowding out Treasuries.
• US equities are described as not a bubble, with S&P 500 expected return around 8%, so investors should remain invested.
• Next year's IPO and secondary supply wave is flagged as the key US equity risk.
• Korean ex-semiconductor earnings are being revised up and leadership may rotate away from semiconductors from Q4.
• Large memory supply arriving around Q2 next year could reduce memory prices and hurt semiconductor stock upside.