KOSPI surges more than 4%, triggering ‘buy-sidecar’ [fn Morning Market Update]

[Financial News] The KOSPI surged more than 4% on the morning of the 27th, triggering a temporary suspension of program buy orders, known as a buy-sidecar. Foreign investors and institutions were both net buyers, while gains in major semiconductor stocks led the index higher. The KOSDAQ Index was also up nearly 4%.
According to the Korea Exchange (KRX), as of 10:40 a.m. that day, the KOSPI was up 4.55% from the previous day at 5,717.47. The index opened at 5,658.65 and extended its gains throughout the morning.
A buy-sidecar was also triggered in the KOSPI market at 10:13:53 a.m. that day. After KOSPI 200 futures rose at least 5% from the previous trading day and stayed at that level for at least one minute, the effect of program buy orders was suspended for five minutes. The KOSPI buy-sidecar is a mechanism that temporarily limits program buying in response to a sharp rise in futures prices, helping to reduce market volatility. This was the 53rd buy-sidecar activation so far this year.
In the KOSPI market, individual investors were net sellers of 869.3 billion won, while foreign investors were buying 543.4 billion won worth and institutions 300.1 billion won worth.
Among the largest stocks by market capitalization, Samsung Electronics was up 5.40% at 220,450 won, while SK hynix was trading at 1,374,000 won, up 7.76%. Semiconductor and electronic components stocks also rose. SK Square jumped 12.09%, while Samsung Electro-Mechanics (10.02%), Daeduck Electronics (8.52%), ILSUNG (8.41%) and HANMI Semiconductor (5.54%) were also strong.
At the same time, the KOSDAQ Index was up 4.58% at 760.51. Individual investors were selling 178.7 billion won worth, while foreign investors (78.8 billion won) and institutions (102 billion won) were net buyers. Among the KOSDAQ’s largest stocks by market capitalization, Alteogen was up 4.35% at 228,500 won, and EcoPro was trading at 76,800 won, up 10.19%.
On the 26th local time, the U.S. Dow Jones Industrial Average (DJIA) rose 0.28%, the Standard & Poor’s (S&P 500) Index gained 0.70%, and the NASDAQ Composite Index advanced 0.83%. The Philadelphia Semiconductor Index (SOX) rose 2.82%.
That same day, Anthropic heated up the stock market by filing an initial public offering (IPO) registration statement with the U.S. Securities and Exchange Commission (SEC) and announcing plans to list on the Nasdaq next month under the ticker symbol ‘ANT’.
Han Ji-young, an analyst at KIWOOM Securities Co., Ltd., said, “According to the filing, Anthropic’s revenue in the first half rose about 1,300% year over year, while its operating loss for the first half narrowed sharply, from $2.14 billion last year to $690 million this year.” She added, “This appears to have eased concerns about AI monetization to some extent.”
Regarding the domestic stock market, Han said, “We expect it to attempt a rebound, supported by improved investor sentiment toward U.S. AI and semiconductor stocks following Anthropic’s filing, as well as a moderation in the rise of West Texas Intermediate (WTI) crude oil prices amid efforts to arrange four-party talks in the Middle East.” She added, “Technical trend pressures remain, but the possibility of a turnaround in sentiment after midweek, driven by the Federal Open Market Committee (FOMC) and earnings from big tech and semiconductor companies, remains open.”

[email protected] Han Young-jun Reporter