[Opening Market] AI Tailwinds Lift KOSPI Above 6,940

The KOSPI index surpassed the 6,940 mark on September 30, climbing 72.66 points or 1.06% from the previous day. This rebound came despite rising U.S. interest rates and skepticism about AI investment. The Korea Exchange reported that foreign investors net bought 61.8 billion won ($45.52 million) of shares, while institutional investors added 17.6 billion won.

Retail investors, however, opted to sell more than 100 billion won worth of shares to secure profits. The KOSDAQ, another major market index, also opened higher at 854.78, up 4.98 points or 0.59%. The domestic market's surge was fueled by favorable sentiment in AI and semiconductor sectors, following Anthropic's disclosure of a $518 billion investment plan for the next decade.

Micron and Meta stocks also saw gains of 1.1% and 3.2%, respectively, with the Philadelphia Semiconductor Index rising 1.3%. Nonetheless, U.S. Treasury yields hit their highest levels in over two decades, with the 30-year bond reaching 5.612% intraday, the highest since June 2002, and the 10-year yield reaching 5.265%, the highest since 2007.

Despite this, yields eased late in the day after Federal Reserve Bank of New York President John Williams suggested there was no urgent need for additional rate hikes. Economic indicators pointed to a slowing economy, with the Conference Board's Consumer Confidence Index dropping to 81.9 in September, below forecasts, and U.S. job openings falling to 7.079 million in August.

Oil prices decreased after Saudi Arabia resumed crude exports through the Red Sea, with WTI crude settling at $89.38 per barrel. The Korean won strengthened as investors monitored key market drivers, trading at 1,351.4 won against the dollar by 9 a.m. on September 30, down 5.3 won from the previous session. Although higher U.S. Treasury yields typically bolster the dollar-won exchange rate, dollar sales by exporters at year-end were aiding the won's support.

Analysts believe the market's trajectory will hinge on semiconductor earnings and the ability of foreign investors to sustain their buying. In the first two trading days of the week, foreign investors had sold 6.2 trillion won worth of KOSPI shares, with the bulk of the selling focused on semiconductor stocks. The crucial question is whether their return to net buying on September 30 signals a temporary recovery or a lasting change in market trends.