South Korea's benchmark index gains 1.6% as construction and shipping stocks advance

Deep News08-04 14:51

South Korea's KOSPI Index closed 1.6% higher at 6358.95 points, driven by retail buying, with construction and shipping stocks among the top performers.

Finance Minister Koo Yun-cheol stated on Tuesday that the government will implement measures to curb stock market volatility. This comes after indications that retail investor enthusiasm for single-stock leveraged exchange-traded funds (ETFs) is cooling.

Following initial steps two weeks ago that failed to curb retail investor demand for these high-risk products, South Korea introduced further restrictions last week, including capping the proportion of such ETFs in an individual's total investment assets at 20%.

During a televised cabinet meeting, Koo Yun-cheol confirmed that authorities will promptly implement measures announced on Thursday to limit the use of single-stock leveraged ETFs.

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