Foreign investors have sold nearly US$60 billion in Korean stocks since the beginning of 2026, accelerating sharply from March.

Domestic institutional investors sustained the market, buying US$27 billion in the same period.

This is a typical pattern of divergence between foreign capital leaving and local capital holding the index.

The problem is that this flow has a limit.

When foreign investors sell on a large scale and domestic investors absorb everything alone, the question is how long they can maintain this position, especially with margin leverage at an all-time high.