[South Korean Leveraged ETF Trading Volume Plummets as New Regulations Suppress Speculative Frenzy] Trading volume in leveraged ETFs linked to South Korea's two major chip giants has shrunk dramatically after South Korean regulators took measures to curb demand for such ETFs that have recently driven market volatility. The KODEX single-stock ETF, tracking SK Hynix and one of South Korea's largest single-stock leveraged ETFs, saw its trading volume drop to 59 million shares on Monday, the lowest level since June 4. Another similar ETF linked to Samsung Electronics also saw its trading volume hit a record low since its launch at the end of May. Peter Park, assistant sales associate for South Korean stocks at NH Investment & Securities, stated, "The speculative leverage bubble in major tech stocks has been curbed on both the upside and downside. Since investors can sell existing holdings without restriction, but face high cash thresholds for new purchases, retail speculative leveraged trading has effectively ended."
