Kospi Benchmark Extends Gain, Tops 6,400-Point Mark Amid Earnings Optimism
South Korea’s benchmark Kospi index reached a fresh high for the second consecutive day on Wednesday. This upward trend was fueled by robust expectations for strong corporate earnings, which successfully overshadowed persistent geopolitical uncertainties stemming from the Middle East.
The Kospi concluded the trading day at a record 6,417.93 points, marking a gain of 0.46 percent. Despite opening 0.01 percent lower, the index swiftly surpassed the 6,400 mark for the first time. It navigated through negative territory during the morning but decisively reversed course in the afternoon, achieving its first-ever close above 6,400 points. Throughout the session, the Kospi peaked at 6,423.29, further extending its impressive record-setting streak.
Retail investors were the primary drivers of this rally, acquiring a net 1.24 trillion won (approximately $840 million) in shares. Conversely, foreign investors and institutional investors acted as net sellers, offloading 674.9 billion won and 448.5 billion won, respectively.
Performance among blue-chip stocks was mixed. Shares of Samsung Electronics and SK hynix, which stand as South Korea’s two largest firms by market capitalization, saw slight declines. Samsung Electronics closed down 0.68 percent at 217,500 won, while SK hynix dipped 0.08 percent to 1,223,000 won, despite both having reached fresh intraday highs earlier in the session.
SK hynix shares had initially surged earlier in the session, driven by strong market expectations that the company is poised to report a record operating profit exceeding 40 trillion won when its earnings are announced on Thursday.
Meanwhile, LG Energy Solution successfully retained its position as the third-largest firm by market capitalization, with its shares climbing 1.36 percent to 484,500 won per share. In contrast, Hyundai Motor’s shares experienced a slight decline of 0.92 percent, closing at 541,000 won.
The tech-heavy Kosdaq index also saw gains, rising 0.18 percent to close at 1,181.12. This marks its ninth consecutive rallying session since April 10, indicating sustained positive momentum for technology and growth stocks.
In currency markets, the Korean won weakened against the US dollar, finishing the session at 1,476 won. This represents a depreciation of 7.5 won compared to the previous trading day.
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