KOSPI rises slightly on strong semiconductor exports

On Tuesday, the KOSPI index closed higher as robust export figures from early August offset lingering doubts about AI investments, resulting in gains for key semiconductor stocks. The benchmark KOSPI finished at 6,345.53, marking a 0.73 percent increase from the prior session. The index initially opened 0.63 percent lower but soon turned around as major semiconductor companies rebounded after a recent lull.

Foreign and institutional investors collectively bought a net of 44.6 billion U.S. dollars (31.45 million won) worth of shares, while retail investors sold a net of 72.4 billion won worth of shares. SK hynix and Samsung Electronics experienced slight gains, closing at 1,425,000 won (0.35 percent) and 239,500 won (4.13 percent), respectively.

In August, South Korea's exports totaled $21.3 billion, representing a 45.3 percent year-over-year increase. Semiconductor exports were particularly strong, surging by 155.4 percent year-over-year to reach $10 billion. This surge in semiconductor exports played a crucial role in driving the overall positive trend. The rising prices of DRAM exports further bolstered expectations of strong earnings momentum in the semiconductor sector.

However, despite the positive semiconductor data, lingering concerns about the sustainability of this growth remained.