In today’s briefing:
- A Flow Play on the Market-Missed Reshuffle in KRX Bio Top 10
- Timing the HHI–Mipo Spread Play Around the Passive Inflow Kick
- Samsung Electronics (005930 KS): Tactical Outlook and Profit Targets
- US Tariffs on Imports from Japan Lowered to 15% but Imports from Korea Are Unchanged at 25% – Why?
A Flow Play on the Market-Missed Reshuffle in KRX Bio Top 10
- KRX BBIG Sept review: Mother index BBIG, four kids. Only Bio (adds: Peptron, PharmaResearch; deletes: Hanmi Pharm, SK Bioscience) and Game saw changes. Battery, Internet unchanged.
- Game’s tiny AUM won’t move flows; Bio may see meaningful passive impact. Index AUM ~20B KRW: additions ~0.2x DTV inflow, deletions ~0.3–0.4x DTV outflow.
- Clean trade setup: index flying under radar, seemingly no pre-positioning. PharmaResearch seems to have moved solo. Thursday likely sees strong ETF-driven price action; enter late morning pullback, exit before close.
Timing the HHI–Mipo Spread Play Around the Passive Inflow Kick
- HHI–Mipo spread holds 3–4%; cancellation risk minimal. Market views HHI as the cleaner MASGA play vs. Mipo, keeping the spread sticky and unlikely to tighten soon.
- Potential kicker for widening comes from passive inflows when Mipo halts, as HHI gains weight in Global Standard vs. Mipo’s Small Cap.
- HHI may see ~4x DTV passive inflow as it absorbs Mipo; pre-announcement flows could start late October, potentially widening the swap spread ahead of the Nov 27 halt.
Samsung Electronics (005930 KS): Tactical Outlook and Profit Targets
- Samsung Electronics (005930 KS) has been in a downtrend for 4 weeks, but it was only mildly oversold (60% prob. of reversal last Friday, at the Close).
- After 4 weeks down, this week the stock re-started its rally, touching 71200 on Tuesday at the Close.
- This insight will try to define the short-term profit targets for this rally (spoiler: they are not far, at least from the TIME MODEL perspective…).
US Tariffs on Imports from Japan Lowered to 15% but Imports from Korea Are Unchanged at 25% – Why?
- One of the biggest events in Korea in the past week has been the uncertainty regarding the US tariffs on South Korea which remains unchanged at 25%.
- On top of this, it was reported on 9 September that the US tariffs on Japanese goods including cars and auto parts will be lowered to 15% by 16 September.
- If Lee’s approval rating falls to about 45% to 50% range, then there could be a greater urgency by the Korean government to finalize a trade deal with the US.
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