Foreign investors return as KOSPI rebounds after eight trading sessions [fn closing market wrap]

[Financial News] The KOSPI closed higher for the first time in eight trading sessions. Individuals and institutions both sold heavily, but foreign investors shifted to net buying, helping push the index higher.
On the 16th, the KOSPI closed at 5,668.05, up 113.83 points (2.05%) from the previous trading session. The index opened higher and touched the 5,800 level intraday, but gave back some of its gains late in the session.
Foreign investors returned to net buying for the first time in nine trading sessions. Individuals and institutions were net sellers of 485.9 billion won and 682.4 billion won, respectively, while foreign investors made net purchases of 341.4 billion won. Other corporations also made net purchases of 827 billion won, absorbing the selling pressure.
Samsung Electronics (2.62%), SK hynix (0.79%), SK Square (2.48%), Samsung Electro-Mechanics (2.15%), Hyundai Motor (5.58%), Samsung Biologics (4.09%) and KB Financial Group (2.11%) were among the stocks that rose.
Most sectors advanced, with transportation and warehousing the exceptions. Medical and precision instruments, pharmaceuticals, retail, transportation equipment and parts, securities, entertainment and culture, machinery and equipment, and IT services posted particularly sharp gains.
Lee Jae-won, a researcher at Yuanta Securities, forecast that “the first priority for calming the sharp decline is for foreign selling pressure to ease and buying to come in to absorb it.” He added that “the stabilization of AI credit risk, the maintenance of the 2027–2028 memory earnings outlook, and the fleshing out of shareholder-return plans at the end of October and whether they are actually carried out will determine how sustainable the rebound is.”
The KOSDAQ closed at 794.78, up 33.96 points (4.46%) from the previous session. It surged in the afternoon, triggering a program-trading buy-sidecar, a temporary suspension of program buy orders.
Institutional buying stood out in the KOSDAQ market. Individuals and foreign investors were net sellers of 89.7 billion won and 94.9 billion won, respectively, but institutions made net purchases of 168.7 billion won, lifting the index.

[email protected] Seo Min-ji Reporter