Kospi breaks 3,100 as foreign investors go on a buying spree
Korea's main bourse punched through the 3,100-mark Friday on big advances for market heavyweights Samsung Electronics and Hyundai Motor.
The benchmark Kospi rose 120.5 points, or 3.97 percent, to close at 3,152.18, logging the largest daily gain since June 16, 2020.
Foreign investors were heavy buyers in the market while institutional and retail investors net sold.
Foreign investors raked in 1.6 trillion won ($1.47 billion) of shares, their largest single day buying since July 2011. Institutional investors net sold 1.14 trillion won shares and retail investors offloaded 561.2 billion won shares.
Stocks started strong tracing gains overnight on Wall Street. Expectations of an economic stimulus package from the incoming Joe Biden-led U.S. administration pushed up U.S. indices.
Samsung Electronics and Hyundai Motor also pushed up the index through the day.
The chipmaker posted 29.5 percent on-year growth in annual operating profit last year, according to its guidance report released Friday. By quarterly earnings it raked in 9 trillion won in operating profit, increasing by 25.7 percent year-on-year. Though quarterly result fell short of market expectations of over 9.2 trillion won, its share prices still rose.
"Though Samsung's earnings fell slightly short of expectations, its shares grew on the back of expectations of a hike in chip demand," said Seo Sang-young, an analyst from Kiwoom Securities in a report Friday.
Samsung Electronics advanced 7.12 percent to 88,800 won, taking share prices close to 90,000 won.
Hyundai Motor shares skyrocketed on news that it is in talks with Apple for a potential partnership in manufacturing the rumored "Apple Car."
Hyundai Motor shares jumped by 19.42 percent to 246,000 won. Auto part affiliate Hyundai Mobis shares grew 18.06 percent to 359,500 won and smaller auto making affiliate Kia Motors' shares increased by 8.41 percent to 68,300 won.
The top 15 large caps listed on the Kospi grew.
LG Chem rose 3.85 percent to 999,000 won, Samsung Biologics added 2.20 percent to 837,000 won and Kakao rallied 7.83 percent to 434,000 won.
Overall losers outnumbered gainers by 463 to 375.
The tech-heavy Kosdaq index fell by 0.11 percent or 1.07 points to close at 987.79.
The local currency traded at 1,089.8 won against the U.S. dollar, up 2.5 won from the previous session's close.
BY KIM JEE-HEE [email@example.com]