Can We Trust It This Time? Where Is This Rally Headed? | Song Jae-kyung, CEO of Dimension Investment Advisory [Double Check]

Summary

Song Jae-kyung discusses why Korea's rally is highly concentrated in semiconductors and robotics despite rising U.S. long-term rates. He explains that hyperscaler AI capex and rising DRAM prices are keeping memory names strong even as Treasury yields pressure the broad market. He also touches on foreign flows, a potential North Korea cooperation theme, and his preferred 80/20 Korea-US allocation.

• Korean market opens with strength in semiconductors and robotics.
• Rising U.S. long-term yields are the main pressure on broader equities.
• AI hyperscaler debt-funded capex and rising DRAM prices support memory and semiconductor stocks.
• The current rally is narrow and concentrated in IT and semiconductor names.
• Robotics momentum is led by component and small-cap names, not Hyundai Motor.
• A Trump-North Korea reconciliation and Tumen River project could reopen an inter-Korean cooperation theme.
• Song would allocate a windfall 80% to Korean equities and 20% to U.S. equities, diversified across sectors.