KOSPI Recovers to 4,200 Mark on Strong Semiconductor and Defense Stocks; Individuals and Foreign Investors Lead Buying

[Financial News] The Korea Composite Stock Price Index (KOSPI) reclaimed the 4,200 level for the first time in 38 trading days, driven by a sharp rally in major semiconductor and defense stocks.
According to the Korea Exchange (KRX), as of 1:52 p.m. on the 29th, KOSPI was trading at 4,207.71, up 78.03 points (1.89%) from the previous session. The index opened at 4,146.48, up 0.41%, and reached as high as 4,212.86 (2.01%).
In the main stock market, individual and foreign investors recorded net purchases of 372.1 billion won and 171.4 billion won, respectively, while institutions posted net sales of 484.3 billion won.
By sector, metals (3.24%), transportation equipment/parts (3.03%), and electrical/electronics (2.90%) showed strong gains, while non-metals (-3.64%), electricity/gas (-3.11%), and textiles/apparel (-2.22%) declined.
Notably, large-cap semiconductor, defense, and nuclear power stocks are showing exceptional strength. After the KRX Market Surveillance Committee adjusted the criteria for designating investment warning stocks for large caps, SK Hynix, which was removed from the warning list, was trading up 5.68% at 633,000 won. Samsung Electronics also rose 1.97% to 119,300 won. Leading defense stock Hanwha Aerospace (up 9.66%) and top nuclear power stock Doosan Enerbility (up 3.53%) also surged.
At the same time, the Korea Securities Dealers Automated Quotations (KOSDAQ) was trading at 931.82, up 12.15 points (1.32%) from the previous session. Individuals recorded net purchases of 254.7 billion won, while foreign investors and institutions posted net sales of 33.3 billion won and 156 billion won, respectively.
Lee Jae-won, a researcher at Shinhan Securities, stated, "The main driver of KOSPI's rise is the semiconductor sector, with individuals—not foreign investors—leading the net buying. Despite aggressive investments by hyperscalers, prices continue to rise due to supply shortages. In particular, there are reports that during supply contract negotiations between Microsoft’s purchasing executive, who visited Korea earlier this month, and SK Hynix, the company indicated it could not supply at the price proposed by Microsoft."

koreanbae@fnnews.com Bae Han-geul Reporter