The KOSPI index is continuing its upward trend, rising over 2% thanks to significant net purchases by foreign investors. Expectations for increased investment in artificial intelligence (AI) by Alphabet have boosted semiconductor stocks, including Samsung Electronics and SK Hynix, contributing to the index's gains.
As of 11:34 a.m. on July 23, the KOSPI had risen 151.38 points (2.23%) to reach 6949.08, according to the Korea Exchange.
In the securities market, foreign investors have made net purchases of 1.2026 trillion won, driving the index higher. Institutions have also net bought 51.6 billion won, while individual investors have net sold 1.2205 trillion won.
Among the top market capitalization stocks, Samsung Electronics is trading at 266,000 won, up 2.11% from the previous trading day, while SK Hynix has risen 2.02% to 1,867,000 won. Other gainers include Samsung Electro-Mechanics (up 3.87%), LG Energy Solution (up 3.89%), and Samsung Life Insurance (up 2.34%). Conversely, SK Square has seen a decline of 1.34%.
Alphabet's upward revision of its capital expenditure (CAPEX) forecast has been interpreted as a sign of increased demand for semiconductors due to expanded AI infrastructure investment. The company's cloud revenue for the second quarter surged 82% year-on-year to $24.8 billion, and its annual CAPEX forecast has been raised from the previous range of $180 billion to $190 billion to a new range of $195 billion to $205 billion.
Lee Kyung-min, a researcher at Daishin Securities, noted that Alphabet's cloud revenue has seen a significant increase, and the upward revision of this year's CAPEX forecast suggests substantial capital investment is expected next year, supporting expectations for AI infrastructure and semiconductor demand.
The KOSDAQ index is also on the rise. At the same time, the KOSDAQ index has increased by 13.09 points (1.74%) to 764.18. Institutions have net bought 49.4 billion won, while individual and foreign investors have net sold 46 billion won and 5.4 billion won, respectively.
Among the top KOSDAQ stocks, Alteogen has surged 8.21%. Other gainers include EcoPro (up 4.67%), EcoPro BM (up 4.00%), and ABL Bio (up 3.03%). However, JUSUNG Engineering (-2.53%), Peptron (-2.23%), and Wonik IPS (-1.61%) are experiencing declines.
After briefly surpassing the 7000-point mark, the KOSPI has retraced some of its gains. However, with strong net buying from foreign investors continuing, attention will remain on the performance of semiconductor stocks like Samsung Electronics and SK Hynix, as well as the KOSPI's potential recovery of the 7000-point level in the afternoon.
* This article has been translated by AI.
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