On the 30th, which is the closing day of the stock market this year, the KOSPI index started at 2,820.36, down 0.15 points (0.01%) from the previous market and is showing an upward trend. The KOSDAQ index opened to 957.38, down 0.03 points. The picture is a dealing room at Hana Bank’s headquarters in Jung-gu, Seoul this morning. yunhap news
The market capitalization of KOSPI-listed companies (1980 trillion won) is expected to reach an all-time high, exceeding the nominal gross domestic product (GDP, expected to be around 1,900 trillion won). If the KOSPI market cap exceeds GDP, this is the first time ever.
According to the Korea Exchange on the 1st, the ratio of the KOSPI market capitalization (1980 trillion 500 billion won) based on last year’s closing price (December 30) to last year’s nominal GDP (1,900 trillion won) predicted by the International Monetary Fund is a record high of 104.2%. I changed the record.
As of the 30th, the KOSPI’s all-time high of 2,873.47, closing this year, the purchase of individual investors called’Donghak ants’ and the inflow of foreign capital at the end of the year led the KOSPI rise.
The KOSPI market cap exceeded its nominal GDP on the 11th of last month (1,900 trillion won based on the IMF estimate) and reached a record high of 1980 trillion won on the 30th of last month, the closing date.
Especially Samsung Electronics[005930] It was found that the market capitalization increased by more than 150 trillion won in a year from about 33.1 trillion won to 483 trillion won.
Last year’s nominal GDP is expected to decrease from 2019 (1,919 trillion won) in the aftermath of Corona 19.
The ratio of the total market capitalization of listed stocks to GDP is also called the’Buffett Index’, which is an indicator of whether the stock market is overvalued. Based on the US stock market, if the Buffett index is less than 80%, we believe it is undervalued, and if it is above 100%, we believe it is overvalued.
However, major domestic securities firms expect the KOSPI to rise further this year and there is room for it to rise to the early half of the 3,000 line.