KOSPI Falls 15% This Month, Rebounds on July 9 as Brokers See Buying Opportunity

According to Daeshin Securities and KB Securities, South Korea's KOSPI index fell 15% in July through the 9th, tumbling from 8,591.50 to early 7,000s, prompting panic selling among retail investors. However, brokers view the decline as a liquidity shock rather than fundamental deterioration. The 12-month forward price-to-earnings ratio (PER) has dropped to 6.17 times, below the 6.27 level during the 2008 financial crisis, entering historically undervalued territory. Analysts recommend deploying a scaled buying strategy to capitalize on volatility, citing improving earnings forecasts for Samsung Electronics and SK Hynix amid geopolitical and semiconductor sector headwinds.
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