Korea's stock market closed higher as semiconductor shares rebounded. After U.S. stocks finished higher led by technology shares the previous day, investor sentiment toward domestic semiconductor names also appeared to improve significantly.
On the 30th, the KOSPI closed at 8,476.48, up 81.83 points (0.97%) from the previous trading day. The KOSPI opened with a slight gain but turned lower in the morning. Heavy selling by foreign investors from early trading weighed on the market.
However, after rebounding in the morning, the KOSPI surged in the afternoon and at one point topped 8,660. Still, as foreign selling continued and the national pension funds also showed a selling bias, the index's gains narrowed somewhat.
In the main bourse, foreign investors recorded net selling of 3.6 trillion won. Foreigners also held a selling bias in KOSPI200 futures. While national pension funds were net sellers, household funds flowed into the market through exchange-traded funds (ETFs), leading institutions to net buy more than 3 trillion won. Individuals also had a net buying advantage of 540 billion won.
U.S. stocks rose across the board the previous day. Investor sentiment improved on news that the United States and Iran halted clashes in the Strait of Hormuz. In particular, the tech-focused Nasdaq jumped more than 2%.
Technology stocks, which had undergone a sharp correction amid recent overheating concerns, rose sharply. After a U.S. investment bank issued an analysis highlighting the stability of the long-term supply contract (SCA) signed by Micron Technology, Micron shares climbed. Alphabet gained as expectations of fund inflows from its inclusion in the Dow lifted the stock.
Semiconductor shares were also strong in our market. In particular, Samsung Electronics rose more than 3%, and Samsung Electro-Mechanics jumped 7%. SK hynix edged up, while SK Square advanced 3%. Funds also flowed into the power equipment sector. LS Electric and HD Hyundai Electric both ended higher.
The KOSDAQ, which had surged the previous day, slipped slightly. The KOSDAQ started higher and at one point turned upward again, but finished at 916.18, down 0.48%.