South Korea's benchmark stock index advanced on Thursday, extending its rebound for a second consecutive session as investors returned to the market following a historic sell-off in major technology shares earlier this week. The Korea Composite Stock Price Index (KOSPI) closed up 459.28 points, or 5.42 percent, at 8,930.30, building on a 3.3 percent gain from Wednesday. The nearly 10 percent plunge on Tuesday marked the steepest decline since March of this year.
This market movement highlights the intense tug-of-war between concerns over rising interest rates and investors seizing the opportunity to buy Korean technology stocks at lower prices.
Among the index's heavyweights, chipmaker Samsung Electronics Co Ltd (KRX: 005930) rose 5.29 percent, while peer SK Hynix Inc (KRX: 000660) surged 13.06 percent, tracking gains in U.S. chip stocks. A strong earnings report and outlook from Micron Technology bolstered confidence in the memory sector. "Micron's earnings provided reassurance, or a sense of relief, indicating that the rapid profit growth is not yet over," said Eugene Investment Securities analyst Huh Jae-hwan.
Battery manufacturer LG Energy Solution Ltd (KRX: 373220) fell 3.69 percent. Automaker Hyundai Motor Co (KRX: 005380) declined 1.18 percent, while its affiliate Kia Corp (KRX: 000270) gained 0.43 percent.
Of the 916 stocks traded, 291 advanced and 589 declined.
Foreign investors were net sellers, offloading stocks worth 8.355 trillion won (approximately $5.4168 billion).
SK Hynix Inc (KRX: 000660) stated on Wednesday its plan to raise up to $29.4 billion through a listing on the U.S. stock market, which would position the offering as one of the largest globally. As a supplier to Nvidia, the company aims to capitalize on robust investor demand for artificial intelligence-related stocks.
If completed at the indicated price, this fundraising would rank as the second-largest equity offering in history, trailing only the record $85.7 billion initial public offering (IPO) by SpaceX earlier this month. It would surpass Saudi Aramco's $25.6 billion IPO in 2019 and a similarly sized offering by Alibaba in 2014. The proposed listing reflects intense global appetite for AI-related equities, even as volatility intensifies in the U.S. technology and semiconductor markets.
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