U.S. Stock Holdings Exceed 300 Trillion Won as Big Tech Rally Resumes

The resurgence of a rally centered on major U.S. tech companies has pushed the total value of U.S. stock holdings to over 300 trillion won. Following a period of hesitation due to domestic market stimulus policies and expectations for the KOSPI to reach 8,000, overseas investors are preparing to return to the U.S. market.
 
According to the Korea Securities Depository's securities information portal, Saveuro, as of May 14, the value of U.S. stocks held by domestic investors was recorded at $200.11 billion (approximately 300.27 trillion won). This marks the second time that U.S. stock holdings have surpassed $200 billion since May 11.
 
The holdings represent the amount of foreign securities that domestic investors have purchased and are currently held by the Korea Securities Depository. However, considering the recent strength of the U.S. stock market, it is likely that the increase in value is more attributable to rising stock prices rather than actual capital inflow.
 
Despite capital outflows, the increase in U.S. stock holdings indicates significant gains in the U.S. market. Many of the top holdings among domestic investors are concentrated in artificial intelligence (AI), semiconductors, and big tech companies, suggesting that the recent rally has had a direct impact.
 
U.S. tech stocks have recently experienced a sharp upward trend. The Nasdaq index has risen approximately 5.4% this month and has surged about 26.7% compared to its low in March. The S&P 500 index is also reaching new all-time highs, driven by gains in major tech stocks related to AI and semiconductors.
 
Notably, popular stocks among overseas investors, such as Tesla and Nvidia, have increased by approximately 22% and 15%, respectively, over the past month. However, domestic investors have been taking profits, recording net sales of $432 million in Tesla and $738 million in Nvidia during the same period.
 
In the past month, Intel has emerged as the top net purchase among domestic investors. The stock has surged amid expectations for semiconductor production contracts for Apple's next-generation devices. Additionally, other AI-related tech stocks, including Micron and Alphabet, have also ranked high in net purchases.