South Korea's 'bipolar' stock market: meltdowns, a record rally and what's to come

TOPSHOT - Currency dealers monitor exchange rates in a foreign exchange dealing room at the Hana Bank headquarters in Seoul on February 2, 2026. South Korea's benchmark index Kospi tumbled more than five percent on February 2, in line with a sell-off across Asian markets amid fresh worries about an AI-fuelled tech rally that has sparked fears of a bubble in the sector. (Photo by Jung Yeon-je / AFP via Getty Images)Jung Yeon-je | Afp | Getty ImagesSouth Korea's stock market staged its sharpest reversal on record on Friday, capping a month of wild swings that underscored how tightly the country's equity market has become tied to the global artificial intelligence trade.The benchmark Kospi surged 14%, on track for its largest one-day jump, data from LSEG showed. SK Hynix similarly saw a record rebound, while Samsung Electronics soared. "The Korean stock market has been trading as if it has bipolar disorder, swinging from panic to euphoria almost overnight," said Jung In Yun of Fibonacci Asset Management. "Today's move looks like a violent reversal of an extremely crowded selloff."The rebound followed a powerful overnight rally in U.S. technology stocks after upbeat earnings from Micro...