Foreigners' Storm Buying and Short Covering... Korean Stock Market Sees Historic Surge / It's Not Time to Buy Excitedly Yet | CEO Lee Kwon-hee

Summary

Lee Kwon-hee, CEO of Wiz Wave, analyzes a historic surge in Korean stocks driven by massive foreign spot buying and short covering. He explains the leadership of Samsung Electronics and SK hynix, with Samsung showing improved communication, while beaten-down semiconductor equipment names also rebound sharply. He advises caution and highlights the rotation out of defensives/financials, watching Micron as a key signal.

• Foreign investors are aggressively buying Korean equities, likely unwinding shorts, and appear unwilling to sell soon.
• Samsung Electronics and SK hynix lead the surge; Samsung’s improved IR and LTA target add a company-specific edge.
• Oversold semiconductor equipment and materials stocks (Hanmi Semiconductor, EO Technics, TES, and others) are bouncing strongly on no fundamental weakness.
• Money is rotating from defensive sectors (biologics, financials, tobacco) and recently strong cosmetics into beaten-down large-caps, making now a poor time to hold banks/insurance.
• Lee watches Micron Technology as the most important leading indicator for the direction of Korean memory stocks.
• Despite the euphoria, he urges against chasing excitedly and hopes for a base-building process rather than a one-day spike.