(Reuters-Yonhap) South Korean retail investors are pouring back into US equities again as enthusiasm for AI-driven tech rallies overwhelms the government’s campaign to steer money back into the domestic market.According to Korea Securities Depository data released Sunday, Korean investors held $200.14 billion in US stocks as of Aug. 14, equivalent to roughly 300.3 trillion won.The rebound marks a sharp turnaround from earlier this year, when government efforts to revive the local stock market temporarily slowed overseas investment. US stock holdings by Korean investors had fallen from around $167.5 billion at the start of the year to $146.6 billion at the end of March, after the government rolled out measures aimed at encouraging a “return to Korean stocks.”The policy push included the launch of reshoring investment accounts in March. The program offers temporary tax incentives to investors who sell overseas shares and reinvest proceeds into Korean equities.Despite those measures, appetite for US stocks has rebounded strongly since last month, fueled by renewed optimism surrounding AI and semiconductor-related technology shares.The S&P 500 and Nasdaq Composite recently climbed to record highs on strength in tech stocks.Korean investors have concentrated buying on AI and semiconductor names. Intel ranked as the most-bought US stock over the past month, with net purchases totaling $641 million, helped by expectations surrounding a reported chip production partnership with Apple.Other popular investments included ETFs tied to Samsung Electronics and SK hynix, as well as shares of Micron Technology and Alphabet.