Kospi Reclaims 5,800 as Samsung Electronics, SK Hynix Rise on Chip Strength
Summary
- The Kospi and Kosdaq each rose more than 3%, helped by strength in semiconductor shares and a decline in international oil prices.
- SK Hynix's 632.1% increase in third-quarter operating profit and its 100 trillion won shareholder return plan led gains in semiconductor shares.
- In the Kospi market, retail and foreign investors were net buyers while institutions were net sellers, and foreign buying continued on the Kosdaq as well.
Forecast Trend Report by Period
The Kospi rose more than 3% in early trading on October 28, reclaiming the 5,800 level as gains in Samsung Electronics and SK Hynix lifted the benchmark.
As of 9:14 a.m., the Kospi was up 181.84 points, or 3.23%, from the previous session at 5,820.18. The Kosdaq was also up 24.38 points, or 3.28%, at 768.21.
The rebound in South Korean stocks was driven in part by strength in US semiconductor shares and a drop in international oil prices. Easing tensions in the Middle East also reduced pressure from oil prices and interest rates, supporting investor sentiment.
Han Ji-young, an analyst at Kiwoom Securities, cited positive developments related to Anthropic and Broadcom, along with gains in US chip stocks, as key drivers for the domestic market. She added that sector performance could diverge ahead of SK Hynix's earnings call, the Federal Open Market Committee meeting and earnings from major Big Tech companies.
SK Hynix's strong earnings and a large shareholder return announcement led gains in semiconductor shares. The company said in a filing that third-quarter operating profit surged 632.1% from a year earlier to 8.33338 trillion won. It also unveiled a shareholder return plan totaling 100 trillion won for this year.
Samsung Electronics rose 3.15% to 229,000 won, while SK Hynix gained 2.24% to 1.371 million won. Other heavyweight stocks also advanced, including Samsung Life Insurance, up 5.49%, Samsung C&T, up 3.49%, SK Square, up 2.90%, and KB Financial Group, up 2.30%.
In the Kospi market, retail and foreign investors were net buyers of 81.4 billion won and 34.9 billion won, respectively, while institutions were net sellers of 121.7 billion won. On the Kosdaq, foreigners bought a net 24.2 billion won, while retail and institutional investors were net sellers of 11.4 billion won and 10.8 billion won, respectively.
Most of the Kosdaq's largest stocks by market capitalization also rose. Rainbow Robotics gained 6.12%, EcoPro climbed 5.38%, EO Technics added 5.32%, EcoPro BM rose 3.70%, and Alteogen advanced 3.20%.
Suehyeon Lee
shlee@bloomingbit.ioI'm reporter Suehyeon Lee, your Web3 Moderator.