On the 29th, the KOSPI, buoyed by buying in semiconductor stocks, reclaimed the 4,200 level intraday and closed around 4,220. The KOSDAQ also broke through 930, extending the year-end market rally.
There were concerns about year-end ex-dividend effects, but recent improvements in dividend procedures kept volatility limited. Previously, shareholders eligible for dividends were determined as of Dec. 31, but the rule has been changed to set the record date after the dividend amount is finalized.
The KOSPI ended the session at 4,220.56, up 90.88 points (2.20%) from the previous trading day. It is the first time in 38 trading days that the KOSPI has recovered the 4,200 level on a closing basis since Nov. 3, when it set a record high (4,226.75).
The KOSPI opened at 4,146.48, then expanded gains as foreign buying flowed in. After reclaiming 4,200 intraday, it fluctuated between the 4,200–4,210 range, then surged to the 4,220 level as the rally strengthened before the close.
Among individual stocks, SK hynix stood out with strong gains. After the close on the 26th, the Korea Exchange (KRX) revised market surveillance rules to exclude large-cap stocks such as SK hynix from investment warning designation, and analysts said the strength also reflected projections from the securities industry that "the semiconductor boom will continue."
Hanwha Aerospace also jumped more than 8% on news it signed a 103.3 billion won contract with the Korea Aerospace Research Institute (KARI) to develop a "lunar lander propulsion system" slated for launch in 2032.
On the supply-demand front, foreigners led the market higher, posting a net purchase of 329.5 billion won on the main board. Institutions and individuals, by contrast, recorded net sales of 286 billion won and 9.1 billion won, respectively. However, among institutions, long-term managers such as investment trusts and pension funds turned net buyers by 23.9 billion won and 37.9 billion won, respectively.
The KOSDAQ index closed at 932.59, up 12.92 points (1.40%) from the previous trading day. The KOSDAQ started at 923.22 and steadily expanded gains, pushing past the 930 level intraday.
On the KOSDAQ, buying by foreigners and individuals lifted the index. Foreigners and individuals posted net purchases of 89.9 billion won and 151.6 billion won, respectively. Institutions net sold 168.9 billion won, but investment trusts and pension funds within that group turned net buyers by 13.8 billion won and 23.7 billion won, respectively.
By stock, Robotics expectations lifted WONIK HOLDINGS, while bio names also surged, including Alteogen (3.64%), Kolon TissueGene (4.67%), HLB (6.51%) and Peptron (10.24%).
Some analysts also said the government's measures to stabilize the exchange rate have spurred onshore capital flows. Lee Jae-won, a researcher at Shinhan Investment & Securities, said, "Expectations that currency volatility will ease under government policy and that funds will move from overseas to onshore continued to be reflected."
The won-dollar exchange rate closed at 1,429.8 won, down 10.5 won from the previous trading day. It is the first time since on the 3rd of last month (1,428.8 won) that the weekly closing rate has fallen into the 1,420-won range.