The Great Rotation: Why Korea's Financial and Retail Sectors Are Surging While Tech Crashes
Table of Contents The Rotation in Numbers: A Tale of Two Markets Insurance and Financials: The Rate Beneficiaries Retail and Cosmetics: The Domestic Demand Story Semiconductor Exodus: Foreign Selling Reaches 3 Trillion Won Energy Stocks Rise on Oil and Refining Margins My Take — Trade Recommendations The Rotation in Numbers: A Tale of Two Markets While global headlines focus on the Nasdaq crash and the won's collapse, a quieter but equally significant story is unfolding within the KOSPI. Korean equity markets are experiencing what analysts are calling the most dramatic sector rotation since the COVID-19 recovery of 2020. The divergence is staggering: Insurance stocks surged 14.7% week-over-week, Retail jumped 8.7%, Banking added 5.5%, and Cosmetics rose 4.2%. On the other side of the ledger, IT Hardware crashed 14.7%, Construction fell 6.2%, and Steel declined 5.2%. "What we are witnessing is the unwind of the semiconductor and large-cap concentra...