The KOSPI index is surging 11% in early trading, recouping the previous day's 12% drop. Backed by strong intraday foreign buying, the KOSPI has jumped more than 600 points in five minutes and is eyeing the 5,700 level. Volatility is high, with a KOSPI buy sidecar triggered immediately after the open.
As of 9:18 a.m., the KOSPI index is trading at 5,648.18, up 554.64 points (10.89%) from the prior session. After opening at 5,250.92, the KOSPI is soaring as foreign and retail buying flows in during the session. Foreigners and individuals are net buyers of 533.0 billion won and 258.1 billion won, respectively. However, financial investment, which represents individuals' exchange-traded fund (ETF) funds, is a net seller of 634.1 billion won.
With a sharp early rally unfolding, a buy sidecar was triggered. A sidecar is a system that temporarily limits program trading to cool market overheating when futures and spot prices surge or plunge beyond a set threshold.
Most of the stocks that plunged the previous day are rising. In the main board the previous day, decliners numbered 911, while advancers were 13 and unchanged were 1, effectively showing broad-based selling. As of 9:13 a.m. today, 893 stocks are up and 26 are down.
Samsung Electronics, which plunged 11% the previous day, is rebounding 12%, recouping the loss. SK hynix is up 13%, reversing the prior day's 9% drop. Hyundai Motor is also turning a 15% fall into a 14% gain.
From the PreMarket, these stocks showed a sharp rally. Samsung Electronics jumped 11%, reclaiming "1.9 million won," and SK hynix rose 10%, trading at "940,000 won." Hyundai Motor (12%), LG Energy Solution (8%), Samsung Biologics (7%), and SK Square (10%) also surged.
At the same time, the KOSDAQ index is up 104.26 points (10.66%) at 1,082.7 from the previous session. After starting at 1,023.84 in early trading, the KOSDAQ is jumping more than 10% as foreigners turn net buyers of 175.0 billion won. The KOSDAQ also surged from the open, triggering a buy sidecar. While 1,652 stocks are rising, only 52 are falling.
Overnight, with international oil prices pausing for breath and economic indicators coming in solid, New York stocks finished higher.
On the New York Mercantile Exchange, West Texas Intermediate (WTI) crude futures settled at $74.66 per barrel, up 0.1% (10 cents), marking a second straight advance. However, oil, which had surged early in the session, gave back gains as the possibility of talks to end the war between Iran and the United States was reported.
On the New York Stock Exchange, the Dow Jones Industrial Average closed at 48,739.41, up 0.49% from the previous session. The Standard & Poor's (S&P) 500 rose 0.78% to 6,869.50, and the tech-heavy Nasdaq 100 finished up 1.29% at 22,807.48.