Kospi bounces back to all-time high, momentum revives

South Korea’s stock indices set new all-time highs after bouncing back Thursday from Wednesday’s loss in the afternoon trade on robust institutional buying, raising expectations a return of momentum to the markets.

The top-tier Korea Composite Stock Price Index closed at 2,296.37, up 26.25 points or 1.16 percent from Wednesday. It reached its intraday high of 2,297.67 at around 2:55 p.m.

The Kospi ended its bullish ride Wednesday, when it closed at 2,270.12.

This came days after the Kospi hit an all-time closing record of 2,292.76 on Monday.

Institutional investors bought 331 billion won ($293.3 million) worth of shares, while offshore investors bought a total of 102.5 billion won in value. Individual buyers sold 443.9 billion won shares.

Search engine operator Naver’s profit showed strong gain, in part on expectations that its former vice president Yoon Young-chan was named a key aide to the newly-elected President Moon Jae-in. Naver closed at 866,000 won, up 5.1 percent or 42,000 won.

Samsung Electronics edged down 5,000 won, or 0.22 percent to 2,275,000 won. SK hynix came to 56,400 won, up 800 won or 1.44 percent, while Hyundai Motor inched up 1,000 won, or 0.64 percent to 157,500 won.

The tech-heavy Korean Securities Dealers Automated Quotations closed at 647.58, up 4.9 points or 0.76 percent, hitting an annual high Thursday.

Both indices began to surge at around 2:30 p.m. after a moderate rise in morning trading.

The won strengthened by 7.3 won to 1,128.7 won against the dollar at around 3 p.m.

By Son Ji-hyoung (consnow@heraldcorp.com)