Seoul stocks achieved a new record high on Tuesday, driven by strong anticipation for upcoming earnings reports from major US technology companies. Concurrently, the Korean won weakened against the US dollar (greenback).
The benchmark Korea Composite Stock Price Index (KOSPI) climbed 25.99 points, or 0.39 percent, to close at 6,641.02.
Trading activity was robust, with 1.1 billion shares exchanged, valued at a substantial 37.3 trillion won ($25.3 billion). Advancing stocks marginally outnumbered declining ones, at 431 to 417.
While foreign and retail investors were net sellers, offloading a combined 315.2 billion won in shares, institutional investors provided support by purchasing a net 351.5 billion won.
The KOSPI briefly surpassed the 6,700-point threshold, peaking at 6,712.73, before paring some gains. This slight retraction occurred as investors adopted a cautious stance ahead of the highly anticipated earnings announcements from the “Magnificent 7” (M7) US tech giants, expected later this week.
“The local market witnessed a notable sectoral rotation, with semiconductor stocks pausing for breath,” explained Lee Kyoung-min, an analyst at Daishin Securities.
Meanwhile, Middle East geopolitical developments, specifically the stalled peace talks between the United States and Iran, had limited impact. Investors demonstrated resilience, showing reduced sensitivity to regional events as their risk appetite remained elevated, according to Lee.
Among large-cap stocks, performance was mixed, though automotive and battery manufacturers significantly led gains.
Market heavyweight Samsung Electronics saw a decline of 1.11 percent to 222,000 won. In contrast, its major chipmaking competitor, SK Hynix, edged up 0.62 percent to 1,300,000 won.
Automakers exhibited strong bullish sentiment, with industry leader Hyundai Motor jumping 5.92 percent to 555,000 won. Its affiliate, Kia, also advanced 1.9 percent to 155,600 won.
The battery sector also posted impressive gains. LG Energy Solutions finished up 1.72 percent at 472,000 won, while Samsung SDI surged by 7.09 percent to 680,000 won.
Conversely, shipbuilding stocks were among the decliners, as investors opted to secure recent profits.
HD Hyundai Heavy Industries dropped 0.89 percent to 667,000 won, and Hanwha Engine, a key producer of marine engines, saw a significant dip of 8.36 percent to 81,100 won.
