Foreign investors become net buyers of Korean assets in August

Foreign investors became net buyers of Korean stocks in August, ending their seven-month selling binge despite geopolitical tensions and rising bond yields, central bank data showed Thursday.

Offshore investors bought a net $400 million worth of local stocks last month, following net selling of $20.7 billion in July, according to data from the Bank of Korea (BOK).

Foreign investors had been net sellers of local stocks every month since January this year.

The BOK said foreign investors snatched up local stocks, backed by improved sentiment helped by sound earnings from Big Tech firms in the United States amid resurgent Middle East tensions and lingering concerns over excessive investment in AI infrastructure.

Meanwhile, foreign investors sold off $4.53 billion worth of local bonds last month, following a $960 million sell-off the previous month.

The won strengthened to trade at 1,368.6 won against the dollar at the end of August, compared to 1,424 won a month earlier.

Yonhap