Despite 1.6 Trillion Won in Foreign Selling, ‘Samsung Electronics and SK hynix’ Rise—Can They Hold Up Today?

[Financial News] The KOSPI Composite Index reclaimed the 6,700 level as large-cap semiconductor stocks, including Samsung Electronics and SK hynix, posted gains. Foreign investors were net sellers of more than 1.6 trillion won, but institutional investors absorbed the selling and drove the index higher. The KOSPI rebounded after five trading days.
According to the Korea Exchange (KRX) on the 16th, the KOSPI Composite Index closed at 6,717.97, up 90.71 points, or 1.37%, from the previous trading day.
The KOSPI opened at 6,611.24, down 16.02 points from the previous session, and fell as low as 6,598.87 in early trading. It later rebounded and extended its gains in the afternoon, closing at its intraday high of 6,717.97.
By investor type, institutions supported the index by making net purchases of 1.2117 trillion won in the KOSPI market. Foreign investors and retail investors were net sellers of 1.6826 trillion won and 1.1864 trillion won, respectively. In program trading, arbitrage transactions recorded a net buying balance of 45.2 billion won, while non-arbitrage transactions posted a net selling balance of 1.3143 trillion won. Overall, program trading recorded net sales of 1.2690 trillion won.
Semiconductor stocks were at the center of the rebound. As the KOSPI’s recent consecutive declines fueled perceptions that prices had fallen too far, bargain-hunting demand entered the market. Investor sentiment was also affected by reports that SK hynix and Intel were discussing ways to cooperate on memory semiconductor production in the United States.
SK hynix and Intel are reportedly discussing using part of a plant Intel is building in Ohio, as well as establishing a joint venture involving Intel and cloud companies. However, the negotiations are still at an early stage, and no specific details have been finalized, according to reports.
Samsung Electronics closed at 253,500 won, up 2.01% from the previous trading day. SK hynix finished at 1.759 million won, up 4.08%. Samsung Electronics preferred shares, Samsung Electro-Mechanics, and SK Square rose 4.01%, 4.86%, and 2.00%, respectively.
Although the KOSPI rose more than 1%, the broader market did not advance evenly. In the KOSPI market, 304 stocks gained, while 578 declined—nearly twice as many. Large-cap semiconductor stocks, including Samsung Electronics and SK hynix, lifted the index because of their substantial weighting in total market capitalization.
KOSDAQ also closed higher. The index gained 3.57 points, or 0.44%, from the previous trading day to finish at 815.98. It opened at 808.37 and fell as low as 801.12 before turning higher in the afternoon and closing at its intraday peak. Retail investors and institutions made net purchases of 13 billion won and 17 billion won, respectively, while foreign investors recorded net sales of 27.8 billion won.
Semiconductor equipment stocks posted notable gains on KOSDAQ. WONIK IPS surged 10.15%, while EO Technics rose 4.82%, Jusung Engineering gained 4.77%, SIMMTECH advanced 4.14%, and LEENO Industrial climbed 2.49%. In contrast, Alteogen fell 1.73%, EcoPro declined 2.61%, and ECOPRO BM dropped 2.71%.


Meanwhile, U.S. stocks fell as concerns grew over the Federal Reserve’s rate hike and the possibility of additional increases. Hawkish remarks by Fed Chair Kevin Warsh also weighed on investor sentiment.

According to CNBC and other outlets, the Dow Jones Industrial Average (DJIA) plunged 631.21 points, or 1.21%, from the previous session to close at 51,461.90 on the New York Stock Exchange (NYSE). It fell more than 800 points immediately after Warsh’s press conference but recovered some of its losses late in the session. The S&P 500 Index also finished down 33.92 points, or 0.45%, at 7,551.81.
The NASDAQ Composite Index closed nearly flat, down 3.15 points, or 0.01%, from the previous session at 25,978.42.
After its regular meeting, the Federal Open Market Committee (FOMC) raised the target range for the federal funds rate by 0.25 percentage point, from the previous annual range of 3.50% to 3.75% to 3.75% to 4.00%. This was the first rate hike in three years and two months since July 2023. All 12 members supported the decision.
The market’s immediate reaction to the widely expected rate hike was limited. However, investor sentiment quickly weakened after Warsh’s press conference began, widening losses in the major indexes.
During the press conference, Warsh emphasized concerns about inflation. He said, "The clear fact is that inflation is too high and has lasted too long," adding, "Looking at the inflation data this summer, we cannot say that the underlying trend has improved meaningfully." Although he did not directly state whether additional rate hikes were coming, he left the possibility of further tightening open by saying, "I do not view current financial conditions as restrictive."


[email protected] Han Seung-gon Reporter