KOSPI Hits Record High for Third Straight Day; Retail Investors Net Buy 440 Billion Won

The KOSPI, the benchmark stock index, surged to set new record highs for the third consecutive day, overcoming concerns stemming from Middle East instability and semiconductor firm SK Hynix's performance announcements. Solid economic indicators and strong corporate earnings provided a robust foundation, propelling the stock market upward.

On the 23rd, the KOSPI index closed at 6475.36, up 0.89% from the previous trading day, reaching an intraday high of 6557.76 and surpassing its previous intra-day record. On the Korea Exchange, individual investors were net buyers of over 440 billion won, spearheading the index's rise, while institutions and foreign investors were net sellers of over 320 billion won and over 50 billion won, respectively.

On the same day, the KOSDAQ index closed at 1174.31, down 0.58% from the previous trading day, showing a divergent trend from the KOSPI.

Early in the trading session, news of air defense systems being activated in parts of Tehran reignited concerns about military conflict in the Middle East, leading to a surge in international oil prices. Following the announcement of SK Hynix's record-high operating profit, selling pressure mounted, causing the index to turn bearish.

However, as the situation in Tehran was confirmed to not be a direct attack, and South Korea's Q1 economic growth rate exceeded expectations, market confidence in the fundamentals grew, enabling a rebound and a continuation of the record-setting streak. Some analyses suggested that the easing of Middle East tensions and oil prices, coupled with SK Hynix's strong earnings and the release of South Korea's Q1 GDP data, bolstered expectations and fueled the rebound. International oil prices subsequently stabilized, with analyses pointing out that the oil price surge had amplified financial market volatility.

In the Seoul foreign exchange market, the dollar-won exchange rate closed at 1481.0 won, while West Texas Intermediate (WTI) crude oil prices hovered in the $90 per barrel range.