Key Highlights

  • South Korea's Kospi surged 6.63% to 6,012.44 on October 28, 2026, its first close above 6,000, which is a key benchmark for holders of iShares MSCI South Korea ETF (NYSEARCA:EWY).
  • SK Hynix posted record quarterly operating profit of 83.3 trillion won, about USD 62.8 billion, as reported, and its shares rose 11.41% while Samsung Electronics gained 9.12%.
  • A 100 trillion won shareholder-return plan was reported from one account, and early readings of 5.6% for the Kospi and 7% for SK Hynix were later revised higher.
  • The surge is overnight proof that the AI memory boom is accelerating, but iShares MSCI South Korea ETF (NYSEARCA:EWY) has no verified price move in the material reviewed, so none is stated.

A Record Day for Korean Shares

South Korea's Kospi surged 6.63% to 6,012.44 on October 28, 2026, its first close above 6,000. Early reports put the gain at 5.6% to 5,952.41, but the close was higher, so the final figure is used. SK Hynix shares rose 11.41%, and Samsung Electronics rose 9.12% to 242,500 won ahead of its own results. SK Hynix posted record quarterly operating profit of 83.3 trillion won, about USD 62.8 billion, as reported, though an early report of a 7% share gain was also revised. The company statements were not opened, so details remain as reported. A move of this size in one session is rare for a national index, and it shows how concentrated Korean equities are in a few technology companies.

Why the Fund Matters

iShares MSCI South Korea ETF (NYSEARCA:EWY) holds a basket of South Korean companies weighted by size, and Samsung Electronics and SK Hynix are among the largest holdings, so a rally led by those two flows quickly into the fund. A concentrated fund magnifies sector swings, and this is a technology-heavy market. The fund trades in US dollars, so the won's exchange rate also affects returns. The reported 100 trillion won shareholder-return plan is from one source and should be treated as unconfirmed. Strong profits tied to memory pricing show how closely Korea tracks AI chip demand. A fund like this one can also trade at a small premium or discount to its holdings when Korean markets are closed, so US prices may gap the next morning.

Risks and What to Watch

Gains of this size can reverse, especially before Samsung reports on Thursday and with Kioxia due on Friday. Memory is cyclical, and a pause in AI orders or price declines could hit earnings. The Federal Reserve decision at 2:00 p.m. ET on October 28, 2026 and a 10-year yield near 4.995% could pull global equities lower. Currency moves add a second layer of risk for iShares MSCI South Korea ETF (NYSEARCA:EWY) holders. This article makes no forecast. Another risk is political and regional: tensions or policy shifts can change foreign appetite for Korean shares. Investors typically also watch foreign fund flows, the won and chip export data. None of these figures were reviewed in full here, so they are named as risk factors, not as findings.

Where Things Stand

The Kospi surged 6.63% because SK Hynix reported a record quarterly profit that showed the AI memory boom accelerating, and Samsung Electronics rose in sympathy. For iShares MSCI South Korea ETF (NYSEARCA:EWY), the effect depends on its weights and the won, and no fund move was verified. Conflicts between early and closing readings show how fast the session changed. Samsung's report on Thursday is the next test. The caution is that gains driven by two companies can reverse if either disappoints on Thursday.