The Korean stock market has risen, the benchmark stock index is expected to enter a technical bull market, and the rebound in global artificial intelligence trading has driven a rapid reversal of last month's historic sharp decline. On Thursday, the benchmark Kospi Index rose 4%, with a cumulative increase of more than 22% since the July 30 low. Major stocks such as memory chip makers Samsung Electronics and SK Hynix contributed the most to the index, and the stock prices of both companies rose sharply. As global tech giants show in their latest earnings reports that large-scale AI spending continues, the market's enthusiasm for tech hardware stocks is returning. This sentiment is in stark contrast to the past few months — when leveraged chip stock positions were forced to close positions, which not only suspended trading, but also caused retail investors to lose billions of dollars in wealth. Recent government restrictions on single-stock leveraged ETFs, as well as signs that investors are reducing margin debt, have helped stabilize the market. “Once the leverage is lifted, the same market may experience a sharp rebound,” said Maxence Visseau, chief investment officer of Arkevium Capital based in Dubai. “The investors who were forced to sell off have disappeared. The shorter-taker made a profit. Traders have reduced downside hedging.” So far, Korea's Kospi Index has risen by more than 60%. The index plummeted 22% in July, the worst monthly performance since the global financial crisis.

The Korean stock market has risen, the benchmark stock index is expected to enter a technical bull market, and the rebound in global artificial intelligence trading has driven a rapid reversal of last month's historic sharp decline. On Thursday, the benchmark Kospi Index rose 4%, with a cumulative increase of more than 22% since the July 30 low. Major stocks such as memory chip makers Samsung Electronics and SK Hynix contributed the most to the index, and the stock prices of both companies rose sharply. As global tech giants show in their latest earnings reports that large-scale AI spending continues, the market's enthusiasm for tech hardware stocks is returning. This sentiment is in stark contrast to the past few months — when leveraged chip stock positions were forced to close positions, which not only suspended trading, but also caused retail investors to lose billions of dollars in wealth. Recent government restrictions on single-stock leveraged ETFs and signs that investors are reducing margin debt have helped stabilize the market. “Once leverage is lifted, the same market may experience a sharp rebound,” said Maxence Visseau, chief investment officer of Arkevium Capital based in Dubai. “The investors who were forced to sell off have disappeared. The shorters made a profit. Traders have reduced downside hedging.” So far, Korea's Kospi Index has risen by more than 60%. The index plummeted 22% in July, the worst monthly performance since the global financial crisis.