Kospi Hits 9,000 Mark

The South Korean benchmark Kospi index made history on Thursday, breaching the significant 9,000-point threshold in intraday trading for the very first time. This monumental market rally was primarily powered by a surge in key semiconductor heavyweights, as investors largely disregarded the US Federal Reserve’s recent hawkish policy stance.

Opening 0.23 percent higher at 8,884.92, the Kospi quickly extended its gains, soaring past the 9,000-point mark for the first time in its history during the trading session. The benchmark index reached an intraday high of 9,040.52 as of press time, ultimately standing at 9,011.61 by 2:30 p.m., marking an impressive 1.66 percent gain.

This historic milestone was achieved remarkably quickly, coming just 16 trading sessions after the Kospi index initially closed above the 8,000 level on May 26.

The benchmark Kospi has been on a blistering, sustained rally, more than doubling from its close of 4,309.63 on January 2nd. For context, just one year prior, on June 18, 2025, the index was trading significantly lower, closing the session below the 3,000-point mark at 2,972.19.

Leading this robust market rally were the prominent semiconductor heavyweights. Shares of SK Hynix, a key chipmaker, soared by 6.86 percent from the previous session, reaching 2.7 million won ($1,770). This performance extends its gains to a new all-time high, achieved just one day after first surpassing the 2.5 million won mark on Wednesday.

Fellow tech giant Samsung Electronics also demonstrated strong performance, advancing 2.16 percent to 354,000 won and successfully maintaining its significant upward momentum.

The introduction of single-stock leveraged ETFs in May, specifically tied to these two major chipmakers, played a crucial role in further fueling these impressive gains by channeling substantial fresh investment into their respective shares.

With their substantial weightings of 28.17 percent (SK Hynix) and 25.84 percent (Samsung Electronics) within the Kospi, these two semiconductor leaders collectively account for over half of the benchmark index. This significant presence naturally amplifies their profound impact on the overall index performance.

Beyond these primary drivers, other heavyweight stocks also reported robust gains, with Samsung Electro-Mechanics surging by 9.2 percent and SK Square seeing a notable increase of 6.64 percent.

On the main bourse, retail investors were net buyers, acquiring 369.9 billion won worth of shares, and foreign investors also showed confidence, scooping up 22.4 billion won. Conversely, institutional investors offloaded 323.6 billion won during the session.

However, in a stark contrast to the Kospi’s impressive rally, the secondary Kosdaq market experienced sustained pressure and largely struggled.

The junior bourse initiated trading 0.21 percent lower at 1,029.81 and saw its losses deepen significantly after the opening bell, even briefly slipping below the critical 1,000-point mark. By 2:30 p.m., the Kosdaq index was at 1,001.66, marking a substantial 2.94 percent decrease on-session.

Looking ahead, leading market analysts are projecting the benchmark Kospi index to achieve the monumental 10,000-point mark in the very near term.

Lee Kyung-min, a prominent analyst at Daishin Securities, commented on the robust economic environment: “The economy and corporate earnings continue to provide strong momentum, effectively counteracting concerns over potentially higher interest rates.”

He further elaborated on the market’s valuation, stating, “The Kospi’s 12-month forward price-to-earnings ratio has only recently recovered to approximately eight times. This valuation normalization, in itself, could be a sufficient catalyst for the Kospi to comfortably reach the 10,000-point mark.”

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