While the Korea KOSPI and KOSDAQ indices are stagnant, the stock indices of major Asian countries have reached all-time highs.
According to the financial investment industry on the 18th, Japan's Nikkei average index (Nikkei 225) closed at 43,714.31 yen, reaching a peak of 43,835.12 yen during the trading day and setting a new historical record after three trading days since the 13th.
Taiwan's Weighted Index also reached a peak of 24,515.65 during the trading day, setting a new all-time high. The Weighted Index had fallen to 17,306.97 after the tariff shock from the U.S. in April, but it continues to rise, surpassing the 24,000 mark this month.
Australia's ASX 200 index also reached an all-time high on the same day. The Shanghai Composite Index and the Shenzhen Composite Index of China both recorded their highest levels in 10 years since 2015. Concerns about tariffs that had shaken the global stock market have eased, and it seems that stock indices are on a bullish trend as governments around the world engage in economic stimulus.
While the KOSPI and KOSDAQ indices rank high in annual growth rates, they have recently stalled. On that day, the KOSPI index fell by 48.38 points (1.5%), giving up the 3,200 mark. The KOSDAQ index also dropped by 17.21 points (2.11%), falling below the 800 mark.
It is interpreted that uncertainties in domestic policies are hindering the stock market more than external factors. The ruling Democratic Party of Korea has announced the processing of the Yellow Envelope Law and the second amendment to the Commercial Act at the provisional National Assembly session on the 21st. Concerns are rising in the business community that the burden on corporations will increase.
On the same day, the Vice Minister's meeting will discuss the first tax reform plan of Lee Jae-myung's government. With projections that the education tax payable by the five major banks will exceed 1 trillion won annually under this tax reform plan, on that day, bank holding stocks showed significant declines.