Institutional buying on strong semiconductor exports lifts KOSPI back above 6,971
Foreign and institutional buying propels KOSDAQ higher for fifth consecutive session
South Korean equities closed broadly higher on Tuesday, with both the benchmark KOSPI and the junior KOSDAQ registering strong advances. The KOSPI rebounded for the first time in four trading sessions, supported by strong earnings from mega-cap U.S. technology companies and resilient domestic semiconductor export data. Meanwhile, the tech-heavy KOSDAQ surged more than 4% on coordinated net buying by foreign and institutional investors, extending its winning streak to five consecutive sessions.
According to the Korea Exchange, the KOSPI finished up 133.31 points, or 1.95%, at 6,971.35. The KOSDAQ jumped 38.38 points, or 4.48%, to close at 894.29. In the foreign exchange market, the Korean won weakened by 5.6 won against the greenback, ending the onshore trading session at 1,358.4 per dollar.
The KOSPI opened lower amid overnight pressures from rising global crude oil prices and higher U.S. Treasury yields, but reversed course as investor sentiment improved on solid U.S. tech earnings and favorable domestic chip exports. Institutional inflows were heavily concentrated in the electrical and electronics sector, anchoring the session's rebound.
By sector, medical precision instruments led the charge with a 5.7% gain, followed by pharmaceuticals at 2.9%, electrical and electronics at 2.8%, and securities at 2.7%. Large-cap stocks advanced 2.0%, while mid- and small-cap segments each gained 0.9%.
In terms of investor flows, institutional investors were net buyers of 334.3 billion won, whereas foreign and retail investors net sold 543.1 billion won and 1.43 trillion won, respectively. Foreign outflows were focused on financials, shedding a net 191.5 billion won, and electrical and electronics, offloading 172.9 billion won.
On the KOSDAQ, improved sentiment following strong September export figures fueled broad-based gains, led by machinery and equipment as well as electrical and electronics. By sector, machinery and equipment surged 6.2%, general services climbed 5.5%, and electrical and electronics gained 4.8%. Foreign and institutional investors posted net purchases of 231.1 billion won and 568.1 billion won, respectively, offsetting retail net selling of 776.4 billion won.
Nuclear and Alaska LNG Optimism Lift Related Plays
Shares tied to nuclear energy and steel rallied sharply on growing expectations that large-scale U.S. nuclear plant construction and the Alaska LNG project could be included in South Korea's planned investments in the United States.
Wonil TNI (136150) hit the daily upper limit, surging 29.94% on hopes for an expansion in U.S. nuclear projects, while KEPCO E&C (052690) rose 2.61% on optimism surrounding bilateral nuclear cooperation.
Sustained momentum around Alaska LNG development lifted Daehan Steel (084010) by 16.82% and Dongkuk Steel (460860) by 4.55%.
Robotics, Semiconductor, and Bio Shares Rally in Tandem
Inflows also gathered around robotics and AI semiconductor equities. Market debutant Brills surged 56.15% on its first day of trading on the KOSDAQ, while HT Robotics climbed 12.75% following its selection for the government's 'World Class Plus' project.
Neuromeka (348340) advanced 4.76% after securing a 1.98 billion won automation equipment supply contract, and SemiFive (490470) rallied 12.48% on the signing of an AI semiconductor design and development agreement for robotics applications.
Apact gained 9.66% on expectations of increased outsourced semiconductor packaging orders from SK hynix.
Biopharmaceutical shares also strengthened across the board. Rznomics (476830) surged 23.28% on RNA platform and clinical pipeline momentum, G2GBIO jumped 23.06% on expectations for its long-acting formulation platform, and GI Innovation climbed 20.00% on immuno-oncology developments.
Gaming company NCsoft rose 10.05%, buoyed by strong early reception to its new MMORPG title, 'Aion 2'.
In contrast, Agent AI (060900) plunged 27.66% after being designated an unfaithful disclosure corporation following the cancellation of its planned rights offering.
