South Korean stocks surged over the week, buoyed by robust performances in the technology sector and positive export data despite fluctuations in global markets. South Korean stocks rose by almost 3% on Friday, which showed a nearly 2% rise on Thursday.
Throughout the week, South Korea’s exports showed resilience, rising for the fourth consecutive month to reach $54.6 billion in January. Semiconductor shipments, a crucial component of the nation’s export portfolio, surged by 56.2 percent year-on-year, indicating sustained momentum in key industries.
On Friday, the Korea Composite Stock Price Index (KOSPI) benchmark was fueled by strong earnings reports from US tech giants Apple, Amazon, and Meta Platforms. This bullish sentiment was reflected in heavy trade volume, with the KOSPI climbing 72.85 points to close at 2,615.31. Foreign investors and institutions played a significant role in driving market gains, while individual investors engaged in profit-taking.
Tech and automotive sectors led the market rally, with notable gains seen in industry giants like Samsung Electronics and Hyundai Motor. Samsung Electronics rose by 2.17 percent, contributing to the overall positive sentiment, while Hyundai Motor witnessed a remarkable surge of 9.13 percent. Financial shares also saw significant gains, with Shinhan Financial Group and Kakao Bank registering notable increases.
The upbeat market sentiment was further bolstered by the approval of Korean Air and Asiana Airlines’ proposed merger by Japan’s antitrust regulator, leading to gains in the airline sector. Despite global market uncertainties, including the US Federal Reserve’s decision to maintain its benchmark lending rate and fluctuations in Wall Street indices, South Korean stocks remained resilient, with the KOSPI closing the week on a high note.
Horoughout the week, the Korean won strengthened against the US dollar, closing at 1,322.60 won on Friday, up from 1,331.80 won on Thursday.
Overall, the week witnessed a strong rally in South Korean stocks, driven by positive earnings reports, resilient export data, and sector-specific developments. Despite global economic uncertainties, the South Korean market demonstrated resilience and optimism, positioning itself for further growth in the coming weeks.
