On the 29th, the KOSPI index rose 2% and is being transacted in the 8,400 range. It is seen as being influenced by news overnight that U.S.-Iran cease-fire talks are wrapping up, as well as by the previous day's decision by the National Pension Service to sharply raise the share of domestic stocks.
As of 9:03 a.m. that day, the KOSPI index was up 208.46 points (2.55%) from the previous transaction day at 8,393.75. Individuals net bought 780 billion won and institutions 107.9 billion won, lifting the index. Foreign investors turned to "sell" with 890 billion won in net sales, extending their net selling streak to 16 transaction days.
While Samsung Electronics is surging more than 5%, SK hynix is up 1%, and they are each being transacted at "3.1 million Electronics" and "2.32 million Hynix." On optimism over multilayer ceramic capacitors (MLCC), Samsung Electro-Mechanics is also up 4% and being transacted in the 1.9 million won range. Hyundai Motor is up 6% and being transacted around 710,000 won.
Investor sentiment appears to have improved after news overnight that U.S.-Iran cease-fire talks have entered the final stage. U.S. outlet Axios reported that the United States and Iran agreed on a memorandum of understanding (MOU) to end the war and are awaiting final approval from U.S. President Donald Trump.
International oil prices fell together on expectations of easing Middle East risk. Brent July futures fell 0.6% to around $93 per barrel, while West Texas Intermediate (WTI) July futures fell 0.5% to around $88 per barrel to end the transaction. The three major New York stock indexes also all closed at a record high. However, the won-dollar exchange rate is being transacted at 1,497 won, up slightly from the previous transaction day.
The previous day's decision by the National Pension Service to align its domestic stock weight with reality also appears to have worked positively for the market. The National Pension Service approved its 2026 asset allocation plan to raise the target weight for domestic stocks from 10.9% to 20.8%. In addition, by expanding the allowed range for strategic asset allocation (SAA) from the previous ±3%, it can now hold up to 25.8%+α in domestic stocks.
This is above the National Pension Service's domestic stock holding ratio of 24.5% (about 395 trillion won) as of the end of February, and is assessed to have partially eased concerns about massive selling pressure raised in the market. Lee Jae-won, a researcher at Yuanta Securities Korea, said, "With the alignment of the target weight for domestic stocks, the temporary expansion of the SAA allowance range, and a reduction in daily rebalancing size, the burden of mechanical selling has eased."
At the same time, the KOSDAQ index was down 5.04 points (0.46%) from the previous transaction day at 1,099.32 and is being transacted. Foreign investors and institutions are net selling 62.5 billion won and 6.2 billion won, respectively. Individuals alone are net buying 69.6 billion won.