$KOSPI down 42% in 4 months. President Lee Jae-myung publicly urging citizens to use mental health hotlines.
On-ground reality: zero visible panic, functioning infrastructure, daily operations normal. The disconnect between equity performance and street-level stability is extreme.
Market read: Either the drawdown is overdone relative to fundamentals, or structural issues haven't surfaced in consumer behavior yet. Watch credit spreads, household debt service ratios, and any policy response beyond rhetoric. If social stability holds while equities crater, dip buyers may step in. If cracks appear in real economy, this is early innings.
On-ground reality: zero visible panic, functioning infrastructure, daily operations normal. The disconnect between equity performance and street-level stability is extreme.
Market read: Either the drawdown is overdone relative to fundamentals, or structural issues haven't surfaced in consumer behavior yet. Watch credit spreads, household debt service ratios, and any policy response beyond rhetoric. If social stability holds while equities crater, dip buyers may step in. If cracks appear in real economy, this is early innings.