Presidential policy chief Kim Yong-beom, speaking on the 28th local time in São Paulo while accompanying President Lee Jae-myung on a state visit to Brazil, linked recent volatility in Korea's stock market to doubts about the artificial intelligence (AI) boom, stating, "The artificial intelligence (AI) revolution is real. The market and investors are still less than fully convinced about the ongoing AI revolution." He noted that while single-stock leveraged ETFs have been singled out as the main culprit for heightened volatility, the market's unease over whether AI will see a long boom is being reflected. Kim said, "Debate continues over the trajectory of the entire semiconductor and AI sector," adding, "I do not think actual demand or AI use cases are temporary. I believe demand will remain solid." On the single-stock leveraged ETF framework, he said, "For investors, the moving volatility is quite nerve-racking," and stated that the Financial Services Commission and the Financial Supervisory Service will look into not only leveraged ETFs but the market overall. He also noted the impact of a China-driven "semiconductor shock" after Changxin Memory Technologies (CXMT) listed on the Shanghai Stock Exchange and a Chinese company moved to manufacture deep ultraviolet (DUV) lithography equipment, causing the KOSPI to fall more than 10% from the previous trading day. Kim said the shock reinforced the need to "build fabs and invest in a timely manner or buckle down further on research