According to Korea Exchange (KRX) data, as of July 3, foreign investors have recorded net selling in the KOSPI market for 10 consecutive trading days; the cumulative net selling in the first half reached 150.464 trillion won, and after that day's selling, it rose to 155 trillion won. Of the 149 trillion won net sold by foreign investors in H1, approximately 134 trillion won was concentrated in semiconductor stocks. Individual investors have bought over 97 trillion won worth of stocks since the beginning of the year, becoming the main counter-party buyers.
KRX Data: Foreign Investors Net Sell for 10 Consecutive Days, H1 Cumulative 150.464 Trillion Won
According to Korea Exchange (KRX) data, as of July 3, 2026, foreign investors have recorded net selling in the KOSPI market for 10 consecutive trading days; the cumulative net selling in the first half reached 150.464 trillion won, and after continuing selling on the same day, the cumulative amount rose to 155 trillion won. On June 29, foreign investors recorded a single-day net selling of 7.7332 trillion won, setting a new single-day record.
KOSPI Falls 7.89%, Samsung Electronics Down 9%
According to Yonhap News and KRX data, on July 2, 2026, the trading room of Hana Bank in Seoul showed that KOSPI closed at 7,648.09 points, down 655.32 points (7.89%) from the previous trading day; KOSDAQ closed at 866.72 points, down 62.63 points (6.74%). Samsung Electronics shares plunged 9% that day, while SK Hynix fell 14.5%.
Foreign Ownership Ratio Rises to About 40%, H1 Net Selling 149 Trillion Won
According to reports, despite the massive sell-off, the foreign ownership ratio rose from about 35% at the beginning of the year to about 40% currently, because the valuation growth of the stocks they hold (especially semiconductor blue chips like Samsung Electronics and SK Hynix) outpaced the volume of selling. Of the 149 trillion won net sold by foreign investors in H1, about 134 trillion won was concentrated in the semiconductor industry, exerting continuous pressure on semiconductor stocks.
Han Ji-young, an analyst at Kiwoom Securities, said: "We should avoid interpreting this net selling as pessimism toward the Korean market; it is reasonable to view it as profit-taking by active foreign funds." Moon Da-woon, an analyst at Korea Investment Securities, pointed out: "Before the upward momentum of KOSPI cools down, the trend of reducing domestic stock holdings may continue; it is not easy to expect foreign investors to turn to net buying in the second half."
KRW/USD Exchange Rate Rises Since May, Foreign Investors Net Sell Over 90 Trillion Won in Korean Stocks in Same Period
According to reports, the KRW/USD exchange rate has risen sharply since May, and foreign investors have been withdrawing funds due to concerns about exchange losses; since the exchange rate began to rise in May, foreign investors have net sold over 90 trillion won of Korean domestic stocks. Noh Dong-gil, an analyst at Shinhan Investment Securities, said: "In an environment of persistently high exchange rates, earnings growth and expanded shareholder returns will be key factors in attracting the return of foreign funds."
Moon Da-woon, an analyst at Korea Investment Securities, added: "Until the weakening trend of the US dollar is confirmed, high exchange rates and pressure from foreign capital outflows may persist."
Individual Investors Bought Over 97 Trillion Won of Stocks Since Start of Year, Pensions and ETF Build Buying Defense Together
According to reports, individual investors have bought over 97 trillion won of stocks since the beginning of 2026, offsetting most of the selling by foreign and institutional investors; the inflow of funds is analyzed as the result of combined effects of household income growth, financial asset reallocation, debt financing, and capital transfer from real estate.
Kim Jae-woo, an analyst at Samsung Securities, said: "Considering the increase in household income, expansion of investment, and room for further reallocation of personal assets, the flow of personal funds may continue; portfolio rebalancing by pensions may also support the shift of funds to the domestic market."
Noh Dong-gil, an analyst at Shinhan Investment Securities, pointed out that individual investors, pensions, and ETFs are building a domestic defense, but if foreign investors' selling continues, the supply-demand balance could be broken.
FAQ
How much did foreign investors sell in the Korean stock market in the first half of 2026?
According to Korea Exchange (KRX) data, as of July 3, 2026, foreign investors had a cumulative net selling of 150.464 trillion won in the KOSPI market in the first half, which rose to 155 trillion won after continued selling on the same day; on June 29, single-day net selling reached 7.7332 trillion won, setting a new single-day record.
Why did foreign ownership ratio rise despite heavy selling of Korean stocks?
According to reports, the foreign ownership ratio rose from about 35% at the start of the year to about 40%, because the valuation growth of the semiconductor blue chips they hold, such as Samsung Electronics and SK Hynix, outpaced the volume of selling; that is, the market value of the stocks held grew faster than the number of stocks sold.
Can individual investors' buying power continue to counter foreign selling?
According to opinions from multiple analysts, although individual investors have bought over 97 trillion won of stocks and pensions and ETFs also provide support, if foreign investors continue selling, the supply-demand balance could be broken; whether individual investors' purchasing power can be sustained in the second half is regarded by the market as the biggest variable for the trend.
