After topping 5,700 in early trading, the KOSPI index broke through the 5,800 level in the afternoon. Shipbuilding, defense, nuclear power, securities, and insurance shares surged, and the index climbed another notch in the afternoon as buying focused on SK hynix.
As of 1:51 p.m., the KOSPI index was trading at 5,803.46 points, up 128.21 points (2.22%) from the previous session. The index opened higher at 5,696.89 compared with the day before and has been widening its intraday gains.
In early trading, shipbuilding, defense, and nuclear power stocks rose together. After news that the White House released the American Maritime Action Plan (AMAP), shipbuilding names such as Hanwha Ocean, HD Hyundai Heavy Industries, and HD Korea Shipbuilding & Offshore Engineering gained around 3%. With U.S.-Iran nuclear talks stalled and speculation about possible Iranian airstrikes, defense stocks including Hanwha Aerospace, Hanwha Systems, LIG Nex1, Hyundai Rotem, and Korea Aerospace Industries (KAI) also advanced, led by Hanwha Aerospace. In addition, expectations for overseas orders stood out, lifting nuclear power-related stocks such as Doosan Enerbility, Hyundai Engineering & Construction, and KEPCO E&C.
In the afternoon, SK hynix led the index higher. Market expectations for the semiconductor cycle resurfaced after news that BlackRock, the world's largest asset manager, held 36,407,157 shares of Hynix, pushing its equity stake above 5%. SK hynix traded at 955,000 won intraday, setting a new 1-year high.
By investor type, individuals, who had driven the index higher in the morning by buying nearly 200 billion won, turned net sellers in the afternoon and are selling more than 472 billion won. Foreign investors have been net sellers for three straight sessions: 922 billion won on the 13th, 939.6 billion won on the 19th, and 793.5 billion won on the 20th.
Institutions alone turned net buyers of 1.1176 trillion won. Specifically, pension funds bought a net 110.6 billion won, and securities firms—the window that captures individuals' exchange-traded fund (ETF) flows—bought a net 1.1123 trillion won.
Meanwhile, at the same time, the KOSDAQ index was trading at 1,153.52 points, down 7.19 points (0.62%) from the previous session. After surging more than 4% the previous day, it is weaker as foreign investors moved to take profits worth 273.8 billion won.