iShares MSCI South Korea ETF EWY is probably on the radar for investors seeking momentum. The fund just hit a 52-week high and moved up 169.60% from its 52-week low price of $48.49 per share.
Are more gains in store for this ETF? Let us take a quick look at the fund and the near-term outlook on it to get a better idea of where it might be headed.
EWY in Focus
The underlying MSCI Korea 25/50 Index consists of stocks traded primarily on the Stock Market Division of the Korea Exchange. The fund has double-digit exposure to information technology (48.79%), industrials (18.58%) and financials (11.16%). The product charges 0.59% in annual fees (see: all Asia-Pacific (Developed) ETFs).
Why the Move?
South Korea has emerged as an economy to watch. KOSPI, the country’s benchmark equity index, has surged 18.44% over the past month and 71.15% over the past six months, highlighting strong momentum in the Asian market. The semiconductor sector has spearheaded the rally in South Korea’s equity market, with a powerful chip rebound driving much of the recent gains.
In a further sign of momentum, the Korea Development Institute upgraded its 2026 growth forecast to 1.9%, pointing to solid semiconductor exports supported by global AI-driven demand, according to UPI. Additionally, as per The Korea Times, Moody’s Investors Service retained South Korea’s “Aa2” credit rating with a stable outlook.
More Gains Ahead?
Currently, EWY has a Zacks ETF Rank #3 (Hold) and a Medium risk outlook. It might continue its strong performance in the near term, with a positive weighted alpha of 151.95 (as per Barchart.com), which gives cues of a further rally.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
iShares MSCI South Korea ETF (EWY): ETF Research ReportsThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
