[Closing Market] KOSPI Rebounds Above 6,820 After Sharp Selloff
On Aug. 31, the domestic stock market overcame a plunge of over 3% in early trading, driven by the burden of U.S. interest rates and concerns over the global semiconductor industry conditions, and closed with a dramatic counterattack, showing a strong rebound trend near the end of the market.In the
On August 31, the domestic stock market, measured by the KOSPI index, overcame a sharp decline of over 3% early in trading, and closed with a strong rebound to 6,820.02, up 31.14 points (0.46%) from the previous day. The market initially plunged 2.58% to 6,547.76, but experienced upward pressure in the afternoon due to a significant influx of low-priced buying support.
In contrast, the KOSDAQ index, which includes small and medium-sized pharmaceutical, bio, and robot-related stocks, failed to narrow the decline, closing down 0.49% from the previous session. The early trading saw divergent actions from different investment entities, with foreigners and institutions initiating a massive net selling under the influence of the Philadelphia Semiconductor Index's plunge of 3.47% in New York.
In contrast, individual investors provided net buying dominance of about 310.3 billion won (approximately $226.82 million) amid concerns about breaking below the 6,500 level. The selling pressure eased as the low-price attractiveness of leading semiconductor stocks became apparent. Foreign investors sold stocks worth over 233.6 billion won in early trading, but their influence waned by the late session as the low-price appeal of semiconductor stocks gained traction.
Institutional investors also sold stocks worth approximately 136.4 billion won in early trading, but later turned to net buying or reduced their selling volume, particularly from financial investment and pension funds, aiding the KOSPI's recapture of the 6,800 level. Notably, Samsung Electronics rebounded strongly following news of securing mass production capabilities and improving yields for the next-generation high bandwidth memory (HBM4), leading to low-priced buying support.
SK hynix experienced severe volatility, dropping to 1,626,000 won (-1.63%) during intraday trading but eventually reduced its decline as selling pressure diminished. Large-cap stocks, such as Samsung Electronics, SK hynix, SK Square, Samsung Electro-Mechanics, LG Energy Solution, Hyundai Motor, Samsung Biologics, KB Financial Group, and Samsung C&T, mostly closed with mild strength, with gains ranging from 0.27% to 1.90%.
The won/dollar exchange rate closed at 1,368.60 won, up 3.9 won from the previous day, amid the impact of the stock market's turnaround and US dollar volatility. Despite global monetary policy concerns, the positive foreign supply and demand in late trading limited the exchange rate's upward pressure.
Written by urgent.news from BusinessKorea's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
