KOSPI Attempts to Break 7,000, Semiconductor Sector Leads the Way

The KOSPI index closed at 6,995, attempting to break through the upper end of its box range. Due to the US market holiday, there is a possibility that the upward trend will continue the next day.

CEO Yoo Chang-hee stated that this strong rally can be seen as a sign that it is unlikely to break the Thursday low of 6,600. Considering these market conditions, he predicted that there is sufficient room for the index to rise to 7,500.

Today, it reached a high of 1.78 million won, continuing its upward trend.

CEO Yoo Chang-hee suggested that based on the 60-day moving average, SK Hynix's stock price could rise to a maximum of 1.95 million won.

This has led to various interpretations of the impact of large-scale selling by individual investors on the market.

Some interpret the selling by individual investors as a positive signal that could relieve the market's burden and make stock prices 'lighter'. There is a view that the concentration of individual selling in large-cap stocks like SK Hynix and Samsung Electronics contributed to this effect.

The credit loan balance has significantly increased from 26.5 trillion won a month ago to 32.5 trillion won currently. Most of this is concentrated in KOSPI, especially Samsung Electronics and SK Hynix.

CEO Yoo Chang-hee estimated that with 4 trillion won in individual selling last Friday and 8 trillion won today, at least 1-2 trillion won in forced selling due to credit loans would have occurred.

This decision is based on his own assessment of the market situation.

Foreign investors recorded large-scale purchases of approximately 1 trillion won on Friday and 2 trillion won in the futures market. Such movements are being received as a positive signal for the market.

CEO Yoo Chang-hee commented that the foreign buying seen on Friday led to confirmation buying today, suggesting that there is no need to worry about the market for the time being. He also added that the likelihood of a selling reversal is low until the simultaneous expiration of futures and options.

SK Hynix, in particular, rose 8%, and Samsung Electronics rose 5%, leading the market.

CEO Yoo Chang-hee mentioned that these two stocks, along with the so-called 'S7' stocks, likely pushed the index up by nearly 3% today. This phenomenon aligns with the synchronized strength of global semiconductor stocks such as US Micron and SanDisk.

There is a view that this background led to the recent strength of SK Hynix.

CEO Yoo Chang-hee explained that the 'catching up' phenomenon, where a temporarily lagging stock eventually rises in line with others, was evident in SK Hynix's stock price today.

The market's interpretation of interest rate hikes is changing. CEO Yoo Chang-hee stated that interest rate hikes can actually be viewed positively in terms of resolving uncertainty.

This reflects the expectation that rather than further rate hikes, it may be a one-time event. Therefore, he emphasized that a stock price decline should be utilized as a buying opportunity.

CEO Yoo Chang-hee believes that even with oil prices at a burdensome level of $92, the market has already entered a phase of adaptation. Despite Goldman Sachs' forecast of rising oil prices, he judged that a sharp increase in oil prices is unlikely.

He emphasized investor sentiment and market resilience, predicting that the market will gradually adapt to macro headwinds. Therefore, he maintains an overall positive outlook on the stock market.