Shafaqna English– During July’s turbulent market conditions, international investors retreated from South Korean equities, yet they continue to maintain confidence in the country’s major semiconductor manufacturers, believing that their underlying growth drivers remain resilient and largely unaffected by the recent volatility.
Meanwhile, the leveraged positions that had contributed to market instability appear to have been significantly reduced, suggesting that much of the speculative excess may have been flushed out, thereby creating a healthier foundation for potential future gains.
A clear indication of the changing sentiment emerged during Friday’s(31 Jul 2026) trading session, when the market witnessed a record-breaking surge in foreign buying activity. Investors from abroad, who had been net sellers of South Korean equities throughout the entire calendar year, reversed course dramatically and purchased a net 7.2 trillion won (equivalent to approximately $5 billion) worth of domestic stocks.
This impressive figure more than doubled the previous single-day record for foreign inflows, underscoring the scale of the shift in investor sentiment and signaling a potential turning point for the market.