Kospi Ends Sharply Higher for Third Straight Session on Chip Rally

The benchmark Korea Composite Stock Price Index (KOSPI) rose 233.51 points, or 3.68 percent, to close at 6,579.04, following gains of 0.65 percent and 0.73 percent in the previous two sessions. After opening 1.47 percent higher, the index extended its advance as foreigners and institutions scooped up chip heavyweights. At 11:57 a.m., the bourse operator activated a buy-side sidecar, suspending program trading for KOSPI-listed shares for five minutes.

Trade volume was moderate at 355 million shares worth 26.21 trillion won (US$18.49 billion), with losers outnumbering gainers 477 to 378. Foreigners and institutions purchased a net 2.83 trillion won and 527.7 billion won worth of stocks, respectively, while retail investors offloaded a net 3.19 trillion won in shares. Large order backlogs and new orders reaffirmed that investment in artificial intelligence (AI) infrastructure and semiconductor demand remain solid, stimulating investor sentiment, said Lee Kyung-min, an analyst at Daishin Securities.