KOSPI Fear Gauge Surges to Historic Level as Foreign Selling Continues

On the morning of May 13, as the KOSPI showed signs of taking a breather after moving close to the 8,000 mark, the so-called Korean fear index rose sharply. It climbed about 7% from the previous day to around 75.00 and reached as high as 79.10 during intraday trading, marking an exceptional surge. According to the original report, the volatility indicator jumped after the KOSPI’s strong rally, while foreign investors continued net selling for a fifth consecutive trading day. The rise suggests market participants are watching for a possible increase in short-term volatility. With the KOSPI slowing near recent highs, foreign flows and the fear gauge may affect investor sentiment ahead. Source: mk.co.kr