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KOSPI Soars Past 5000: Investors Cheer, Some Fear Correction
22 Jan
Summary
- KOSPI index surpassed 5,000 points for the first time ever on January 22nd.
- Investors expressed excitement over President Lee Jae-myung's fulfilled pledge.
- Concerns about market overheating and potential corrections are emerging.
On January 22nd, the KOSPI index achieved a historic milestone, breaching the 5,000-point mark for the very first time. Online investment communities buzzed with excitement and admiration, with many investors expressing joy over the realization of President Lee Jae-myung's pledge.
Expressions of exhilaration were common, with some participants noting the rapid achievement of the target and setting ambitious new goals. However, this rally, predominantly fueled by the semiconductor sector, has also led to a sense of deprivation among those not invested in these stocks, including some retail investors who regretted their overseas investments.
Amidst the celebration, cautious voices are warning of potential short-term overheating and a possible market correction. Concerns were raised about foreign and institutional investors potentially selling off their holdings, as well as the impact of the Bank of Japan's interest rate hike on yen carry trades.
Despite the fervent online activity, the offline scene at securities company wealth management centers remained subdued, highlighting the decisive shift of stock trading activity to online platforms.
