KOSPI Breaks Through 6,900... SK hynix Surges Over 8%

On May 4, the Korean stock market closed on a strong note, with the KOSPI surpassing the 6,900-point mark for the first time in history. Nearly 5 trillion won in combined net purchases from foreign investors and institutions pushed the index higher, as large-cap sectors such as semiconductors and securities led the gains.

Yonhap News Agency

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On this day, the KOSPI Index closed at 6,936.99, up 338.1 points (5.12%) from the previous trading day. Foreign investors posted a net purchase of 3.0194 trillion won and institutions bought a net 1.9362 trillion won, lifting the index. Individual investors, on the other hand, recorded a net sale of 4.793 trillion won.

Lim Jeongeun, a researcher at KB Securities, stated, "The KOSPI's gain was fueled by a combined net purchase of around 4.9 trillion won from foreign and institutional investors," adding, "The strong performance of U.S. big tech companies during the Labor Day market closure, as well as a surge in semiconductor exports in April, were positive factors that drove strong gains across the AI semiconductor sector."

By industry, securities (10.06%) and electrical/electronics (7.70%) posted particularly strong gains. Notably, Samsung Securities soared by over 28% on expectations of securing a lead in integrated foreign investor account services with IBKR, and the outlook for improved brokerage earnings further contributed to the strength in the securities sector. Other sectors that showed solid gains included manufacturing (5.79%), textiles/apparel (4.90%), finance (4.71%), metals (4.01%), and insurance (3.89%). On the other hand, construction (-3.99%), real estate (-3.72%), entertainment/culture (-1.38%), paper/wood (-1.31%), and nonmetals (-1.08%) declined.

Among the large-cap stocks, SK Square (17.84%), SK hynix (12.52%), and Samsung Electro-Mechanics (10.34%) surged. SK hynix jumped over 12%, with its share price surpassing 1.4 million won per share, and its market capitalization exceeded 1,000 trillion won. SK Square, which overtook Hyundai Motor last week to become the third largest by market cap, surged by over 17%, putting it on the verge of joining the "emperor stock" club (stocks priced above 1 million won per share).

Samsung Electronics (5.44%) and Samsung Electronics Preferred (7.14%) were also strong, along with Samsung C&T (7.20%), Samsung Life Insurance (6.21%), LS ELECTRIC (5.76%), HD Hyundai Electric (3.75%), and Hanwha Aerospace (3.39%). On the other hand, Shinhan Financial Group (-1.90%), KB Financial Group (-1.68%), and Celltrion (-1.35%) ended lower.

The KOSDAQ Index also recorded gains. The KOSDAQ closed at 1,213.74, up 21.39 points (1.79%) from the previous session. Foreign investors were net buyers of 555.6 billion won, while institutions and individuals sold a net 73.6 billion won and 449 billion won, respectively.

Among the top KOSDAQ stocks by market capitalization, EcoPro BM (4.61%), Wonik IPS (4.61%), Padu (3.84%), HPSP (3.42%), Rainbow Robotics (3.16%), Voronoi (2.82%), Kolon TissueGene (2.75%), Peptron (2.69%), ISC (2.06%), EcoPro (1.90%), EO Technics (1.50%), Leeno Industrial (1.26%), and Alteogen (1.22%) all rose. LS Marine Solution hit its upper price limit, driven by expectations of increased power demand from AI data centers and the opening of the 2026 Offshore Technology Conference (OTC) in the United States, as well as optimism for subsea cable projects.

Conversely, stocks such as ABL Bio (-1.71%), Samchundang Pharm (-1.44%), Ligachem Bio (-1.04%), and Robotis (-0.95%) declined.

Researcher Lim added, "With major overseas events such as Palantir's earnings release in the U.S. on May 5 and the U.S. April employment data to be announced on May 8, as well as the domestic earnings season happening simultaneously, the extent of further upward revisions to KOSPI earnings forecasts and progress in U.S.-Iran negotiations will determine the strength of the market's rally this week."

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