Live Updates > Live Update Details
2026-11-06 11:34:30
[South Korean stock market plunges more than 40% from its peak, retail investors' dissatisfaction tests Lee Jae-myung's "funds into the market" policy] (1) The South Korean stock market has fallen sharply from its year-to-date high, with a cumulative market value loss of more than US$1.7 trillion, triggering strong dissatisfaction among retail investors and putting President Lee Jae-myung's policy of encouraging residents to shift their funds from real estate to the stock market to face challenges. (2) During his campaign, Lee Jae-myung promised to push the KOSPI index to 5,000 points; driven by the AI investment boom, the index once hit a record high of 9,114.55 points, but subsequently continued to decline. (3) On Friday, the index once plunged 8.8% during trading, falling below the 5,000-point mark, with a cumulative drop of more than 40% since its June high. (4) Many retail investors said that they responded to the government's call to give up home purchases and instead invest in stocks, but now they have suffered huge losses; at the same time, Seoul house prices have risen for 91 consecutive weeks. (5) One investor said that about 65% of the 40 million won he invested in small-cap index funds has evaporated. (6) The market reversal is exacerbating investors’ doubts about government policies.
