The KOSPI closed above the 7,000 mark for the first time in 33 trading sessions, breaking through what analysts call a psychological resistance level that had repeatedly turned it back since August. Analysts said the index has set the stage for a genuine rebound as buying rotated into secondary battery and refining and chemical shares, overcoming concerns about oil price and interest rate pressure from a prolonged Middle East risk.
The KOSPI ended the 9th at 7,051.64, up 97.12 points, or 1.40%, from the previous session, according to the Korea Exchange. It was the first close above 7,000 since the index finished at 7,096.89 on July 23. The benchmark had stumbled at that threshold time and again in recent weeks. On August 18, it climbed past 7,200 during the session only to close sharply lower at 6,869, and on the 7th it surged 4.61% but finished at 6,995.39, stopping just 4.61 points short of 7,000. It also recovered the 7,000 line intraday the previous day before profit-taking late in the session pushed it down to 6,954.52. This time, however, the index cleared 7,000 early in the session and held its gains despite selling by retail and foreign investors, finishing above 7,050. The KOSDAQ also advanced, closing at 830.37, up 18.49 points or 2.28%, as both indexes gained.
Institutional investors and share buybacks by Samsung Electronics (005930.KS) and SK hynix (000660.KS) absorbed a wave of profit-taking by retail investors, lifting the index. On the main board, individuals sold a net 2.2874 trillion won, marking a fourth straight session of net selling above 2 trillion won. Foreign investors were also net sellers at 435 billion won, but institutions bought a net 941.7 billion won, filling the gap. On the KOSDAQ, individuals sold a net 214.4 billion won and institutions a net 19.7 billion won, while foreign investors bought a net 225.1 billion won.
Samsung Electronics finished flat at 269,500 won, while SK hynix jumped 3.51% to 1.856 million won. The largest-cap stocks diverged, but secondary battery and refining and chemical shares rallied and were the main drivers behind the index's return above 7,000. Battery makers drew expectations of indirect gains after reports that the U.S. transportation secretary criticized Ford and said the automaker should end its cooperation with a Chinese battery company. Samsung SDI (006400.KS) surged 8.30%, with LG Energy Solution (373220.KS) up 6.46% and POSCO Future M (003670.KS) up 6.37%.
Refining and chemical shares also attracted buying after intensifying military conflict in the Middle East drove West Texas Intermediate crude to $94 a barrel and Brent to $99. Amid expectations of improving margins at naphtha cracking centers, Lotte Chemical (011170.KS) rose 18.12%, while SK Innovation (096770.KS) gained 11.23%, LG Chem (051910.KS) 5.56% and S-Oil (010950.KS) 4.08%.
Among power equipment makers tied to electricity demand from artificial intelligence data centers, LS ELECTRIC rose 5.49%, Doosan (000150.KS) 4.17%, Hyosung Heavy Industries (298040.KS) 3.42%, HD Hyundai Electric (267260.KS) 3.16% and Doosan Enerbility (034020.KS) 2.46%. Shipbuilders also advanced, with Hanwha Ocean (042660.KS) up 2.32% after being named preferred bidder for a Thai frigate project worth up to 4 trillion won, while HD Hyundai Heavy Industries (329180.KS) rose 4.27% and HD Korea Shipbuilding & Offshore Engineering (009540.KS) 2.74%.
"Even amid unstable external conditions such as Middle East risk and surging oil prices, the impact of OpenAI's GPT-6 Astra and AI demand momentum from global conferences supported the downside," said Lee Kyoung-min, an analyst at Daishin Securities (003540.KS). "With the rise in Treasury yields easing ahead of the U.S. Treasury Department's announcement of an expanded buyback program, buying rotated into sectors with clear individual catalysts, including secondary batteries, refining and chemicals, shipbuilding and power equipment, leading the KOSPI's successful recapture of the 7,000 level."
