[Edaily Reporter Kim Hyung-il ] The domestic stock market opened higher, buoyed by strong earnings from U.S. Big Tech companies and a rally in the New York stock market. Amid ongoing expectations that U.S. companies will expand their investments in artificial intelligence (AI), buying interest is flowing into the market, particularly in semiconductor and growth stocks.

According to MP Doctor on the 4th, as of 9:08 a.m. today, the KOSPI stood at 6,335.27, up 77.82 points (1.24%) from the previous trading day. The KOSDAQ was trading at 764.62, up 27.27 points (3.7%) from the previous trading day.

By investor type, in the KOSPI market, retail investors and foreign investors are buying 172.1 billion won and 150.6 billion won, respectively. In contrast, institutional investors are selling 334.1 billion won. In the KOSDAQ market, while institutional investors are buying 50.3 billion won, retail investors and foreign investors are selling 22.5 billion won and 28.0 billion won, respectively.

Overnight, U.S. stock markets rose across the board, buoyed by strong earnings from big tech companies such as Amazon. On the 3rd (local time), the Dow Jones Industrial Average closed at 53,178.41 on the New York Stock Exchange (NYSE), up 693.38 points (1.32%) from the previous trading day, setting a new all-time high. The S&P 500 and the Nasdaq Composite also closed up 1.48% and 2.13%, respectively.

The securities industry believes that expectations for improved earnings in the domestic semiconductor sector remain intact, as U.S. Big Tech companies continue to expand their capital expenditures (CAPEX). Kang Dae-seung, an analyst at SKSecurities, said, “Considering the upward revisions and maintenance of CAPEX forecasts by U.S. Big Tech companies, as well as rising GPU rental costs, the likelihood of a downward revision to short-term earnings forecasts is low,” adding, “We believe last month’s correction in the semiconductor sector was excessive.”

Most of the top market-cap stocks are on the rise. SamsungElectronics(005930)is up 1.52%, and SK hynix(000660)is up 1.98%. SKSQUARE(402340)(4.20%), SamsungElectroMechanics(009150)(2.29%), LG Energy Solution(373220)(1.58%), SamsungElectronics(1P)(005935)(1.07%), and KB Financial Group(105560)(0.12%) are also showing strength. On the other hand, HyundaiMotor(005380)(-0.89%), SAMSUNG BIOLOGICS(207940)(-0.35%), and Samsung Life Insurance(032830)(-0.52%) are trading lower.

Among the top KOSDAQ stocks by market capitalization, gainers are in the majority. ABL Bio Inc.(298380)is surging 8.73%, while Alteogen Inc.(196170)(7.09%), ECOPRO CO., LTD(086520)(5.17%), ECOPRO BM CO., LTD.(247540)(4.96%), HLB INC.(028300)(4.85%), Peptron, Inc.(087010)(4.79%), JUSUNG ENGINEERING Co.,Ltd.(036930)(3.91%), WONIK IPS Co.,Ltd.(240810)(2.77%), and LigaChem Biosciences(141080)(2.44%) are also rising.

By sector, construction (5.24%), telecommunications (3.45%), machinery and equipment (2.42%), electricity and gas (2.32%), and non-metals (2.14%) are showing strength. Among construction stocks, ChinhungInternational(002780)(4.36%), KUMHOE&C(002990)(3.67%), DaewooEngineering&Construction(047040)(3.09%), HyundaiEngineering&Construction(1P)(000725)(2.52%), and HwasungIndustrial(002460)(2.50%) are rising. In contrast, the food, beverage, and tobacco (-0.51%), textiles and apparel (-0.31%), retail (-0.16%), and pharmaceutical (-0.09%) sectors are showing weakness.

Han Ji-young, an analyst at KIWOOM Securities, stated, “The domestic stock market is expected to show a bullish trend today, driven by continued perceptions of oversold conditions following July’s plunge and yesterday’s sharp decline, falling oil prices and interest rates due to President Trump’s cancellation of the airstrike on Iran, and a rebound in U.S. semiconductor stocks,” adding "Given that the KOSPI earnings consensus has shifted back to an upward trend due to strong second-quarter results from key sectors, including semiconductors, it is important to focus on the potential for the domestic stock market to return to normal," she added.