South Korea's Stock Market Leverage Hits All-Time High

BlockBeats News, May 20th, according to Barchart citing data from the Korea Financial Investment Association, the leverage amount (margin loans) in the South Korean stock market has surged to around 35 trillion Korean won, reaching a historical high, indicating extremely aggressive positions held by traders in the country.

Recently, the South Korean stock market has experienced significant volatility due to the negotiation and strike events between Samsung Electronics and the union over employee benefits. The high leverage ratio and a high level of retail investor participation have also exacerbated the market turbulence to some extent.