The iShares MSCI South Korea ETF (EWY) fell sharply by 10% after a government official suggested AI-related profits should be taken for public benefit, causing investor caution. The ETF is heavily concentrated in SK Hynix and Samsung, which make up 52% of its holdings, increasing its volatility and risk. Despite a low price-to-earnings ratio of 7.6, rising earnings estimates and strong momentum may indicate peak earnings and potential downside. Analysts see better risk/reward opportunities near the $155 support level, expecting further short-term declines due to current technical and volatility signals.
Shares of major memory and semiconductor companies like SanDisk and Micron dropped sharply following a proposal by a top South Korean official to redistribute excess AI-driven profits from chipmakers like Samsung and SK Hynix to the public. This spar...
The iShares MSCI South Korea ETF (EWY) has risen 80% year-to-date and about 200% over the past year, fueled mainly by its heavy exposure to Samsung Electronics and SK Hynix, which together make up nearly half the fund. These companies dominate the hi...
