South Korea Foreign Investors Flee Despite Record Rally

Episode 38 of Geopolitics and Markets examines an abrupt disconnect: foreign investors have dumped billions of dollars in Korean equities this year, even as the Kospi index posted record highs. Lucas and Luna anchor the discussion in the June 8, 2026 market context — the Kospi plunging 7% amid renewed Iran-Israel strikes — and trace the structural factors behind the exodus: rising geopolitical risk premium, Korean won weakness versus the dollar, and the spillover from yen depreciation that makes Korean exports less competitive. They link this to a broader portfolio rebalancing out of emerging Asia into US assets, and ask whether the selloff is a buying opportunity or a canary in the coal mine for other export-dependent economies. Specific data points include the yen at 159 per dollar, the trade-weighted dollar index at 118.9, and the Kospi's single-day drop. #SouthKorea #Kospi #ForeignInvestors #Geopolitics #EmergingMarkets #PortfolioFlows #Yen #Won #ExportCompetitiveness #IranIsrael #RiskPremium #DollarIndex #Trade #Asia #MarketSelloff #FexingoBusiness #BusinessPodcast #Economics Keep every episode free: buymeacoffee.com/fexingo