KOSPI closes above 7,050 as institutions buy 900 billion won; KOSDAQ up 2.28% [fn Market Close]

[Financial News] The KOSPI Composite Index reclaimed the 7,000 level on a closing basis for the first time in 33 trading days, buoyed by heavy institutional buying and strength in semiconductor stocks. KOSDAQ also rose more than 2% to move above 830 as foreign investors stepped up their purchases.
According to the Korea Exchange (KRX) on the 9th, the KOSPI Composite Index closed at 7,051.64, up 97.12 points, or 1.40%, from the previous trading day.
In the KOSPI market, institutional investors were net buyers of 900.5 billion won. They maintained a net-buying position for the fifth consecutive trading day. Retail investors and foreign investors were net sellers of 2.4971 trillion won and 170.2 billion won, respectively.
By sector, chemicals rose 3.56%, machinery and equipment 2.73%, electrical and electronics 2.01%, manufacturing 1.96%, and metals 1.63%. Entertainment and culture fell 2.66%, IT services 1.36%, insurance 1.35%, and telecommunications 1.31%.
Among the largest companies by market capitalization, LG Energy Solution rose 6.46%, HD Hyundai Heavy Industries 4.27%, SK hynix 3.51%, Samsung Electro-Mechanics 2.48%, and Doosan Enerbility 2.46%. Shinhan Financial Group fell 2.30%, Samsung C&T 1.57%, Samsung Life Insurance 1.46%, and KB Financial Group 0.98%.
Large semiconductor stocks showed mixed performance. SK hynix closed at 1.856 million won, up 63,000 won, or 3.51%, from the previous trading day. Samsung Electronics, however, gave up its intraday gains and finished at 269,500 won, unchanged from the previous trading day.
KOSDAQ closed at 830.37, up 18.49 points, or 2.28%, from the previous trading day. Foreign investors were net buyers of 298 billion won, while retail investors and institutional investors were net sellers of 281.7 billion won and 24 billion won, respectively.
Among KOSDAQ’s largest companies by market capitalization, EcoPro BM rose 9.64%, EcoPro 7.03%, Jusung Engineering 6.12%, EO Technics 5.26%, and LigaChem Biosciences 5.02%.
Securities analysts said that sector-specific positive catalysts lifted South Korea’s stock market despite declines on Wall Street. Expectations that Qualcomm would sign a contract to supply artificial intelligence chips to Amazon, along with hopes that Intel would raise prices for server central processing units, supported investor sentiment toward semiconductors. As a result, SK hynix and domestic semiconductor materials, components, and equipment stocks gained ground. Expectations of benefits from a possible tightening of U.S. regulations on Chinese-made batteries also drew buying into secondary-battery stocks.
Lim Jeong-eun, a researcher at KB Securities, analyzed, "The domestic stock market showed differentiated performance driven by sector-specific momentum. Energy-related stocks were strong amid concerns originating in the Middle East, while semiconductor materials, components, and equipment stocks led the gains on KOSDAQ."
Lim Jeong-eun added, "With the size of the U.S. long-term Treasury buyback and the August producer price index (PPI) scheduled to be announced on the 10th, investors need to remain alert to stock-market volatility."
[email protected] Bae Han-geul Reporter