KOSPI Rebounds to 8,000 Mark After Shock; 'Fear Index' Hits All-Time High

[Anchor]

The KOSPI, which had been plummeting, has recorded its largest-ever single-day gain, reclaiming the 8,000-point level. When market volatility is this high, heavy debt-financed investments can lead to irreversible losses.

Min Gyeongho reports.

[Reporter]

The KOSPI opened with a surge of over 200 points, up 2.8% from Monday (June 8).

A sidecar was triggered early in the session, and the upward momentum accelerated after 11:30 a.m.

The index ultimately closed at 8,096 points, up 8.18% from the previous day, marking the largest point increase in its history.

In just one day, the market recovered 90% of the losses incurred on Monday.

Samsung Electronics and SK Hynix led the rally, surging approximately 9% and 16%, respectively.

The rebound was largely driven by the overnight surge in U.S. semiconductor stocks, as investor sentiment improved following announcements from Iran and Israel regarding a halt to their attacks.

However, experts predict that volatile market conditions will persist until the second-quarter earnings reports for major U.S. tech companies, including semiconductor firms, are released next month.

They note that skepticism regarding a "peak" for semiconductor stocks remains prevalent in the market, given the steepness and speed of the recent price gains.

[Lee Jin-woo / Head of Research Center, Meritz Securities: The momentum has reached a temporary conclusion. It is likely that the pattern of the market feeling anxious and then finding relief will repeat for the time being.]

A series of major events are scheduled, starting with the U.S. Consumer Price Index (CPI) release tonight, followed by interest rate decisions in Japan and Europe.

[Lee Sang-heon / Senior Research Analyst, iM Securities: There are factors that could hint at tightening policies... Concerns over liquidity contraction could be reflected, potentially triggering negative volatility in the stock market.]

The KOSPI 200 Volatility Index, often referred to as the "Korean fear index," has reached an all-time high of 91.23, surpassing levels seen even at the outbreak of war.

Experts advise caution in trading, specifically warning against investing in leveraged products, which carry a high risk of "negative compounding"—a phenomenon where it becomes impossible to recover the principal during periods of extreme volatility.

Reported by Min Gyeongho | Video by Kim Jun-hee | Produced by SBS Digital News
※ Please note: This article was translated by AI and may contain errors.