[Edaily Reporter Kim Kyung-eun ] As a wait-and-see sentiment intensified in the domestic stock market, both the KOSPI and KOSDAQ closed flat. Although the KOSPI was up by more than 2% at one point during the session, market caution ahead of NVIDIA’s earnings report and the release of the U.S. Personal Consumption Expenditures (PCE) price index appears to have limited the index’s movement.

According to MP Doctor on the 26th, the KOSPI closed at 6,808.21, up 65.47 points (0.97%) from the previous trading day. This marks the first time the index has recovered to the 6,800 level in four trading days since the 20th.

The index opened at 6,727.25, down 15.49 points (0.23%) from the previous close, and remained in a range-bound pattern for some time. At one point during the session, it surged as high as 6,887.18, up 144.45 points (2.14%), but gave up those gains toward the end of the session. This is interpreted as the result of heightened wait-and-see sentiment ahead of major events—such as NVIDIA’s earnings announcement—despite positive market factors like falling international oil prices and government bond yields.

However, as SamsungElectronics(005930)and SK hynix(000660)successively launched large-scale share buybacks, buying pressure from “other corporations” served as a pillar of support for market supply and demand. “Other corporations” made net purchases of 1.5981 trillion won that day, while institutions also bought 764.9 billion won worth of stocks. In contrast, retail investors and foreign investors made net sales of 2.2468 trillion won and 116.1 billion won, respectively.

Lee Kyung-min, an analyst at DaishinSecurities, noted, “Following the previous day, large-scale buying by ‘other corporations’—presumed to be share buybacks by SamsungElectronics and SK hynix—supported the index from below,” adding, “Stock prices are becoming increasingly sensitive to the supply-and-demand momentum generated by actual share buybacks.”

SamsungElectronics closed at 261,500 won, up 4,500 won (1.75%) from the previous trading day. Value stocks with significant shareholdings, such as SAMSUNG C&T CORPORATION(028260)(5.59%) and Samsung Life Insurance(032830)(5.59%), also rose in tandem. SK hynix finished trading at 1,688,000 won, up 10,000 won (0.60%).

In contrast, HyundaiMotor(005380)closed at 408,000 won, down 13,000 won (3.09%), despite announcing a decision to retire treasury stock worth approximately 790 billion won. Amid a recent surge in shareholder returns by large-cap stocks, this is interpreted as HyundaiMotor’s stock buyback failing to meet market expectations.

The nuclear power sector also continued its upward trend following reports that the U.S. government had proposed that South Korea acquire a stake in the U.S. nuclear power company Westinghouse (WEC). Companies such as KEPCO Engineering & Construction(052690)(up 13.63%), HyundaiEngineering&Construction(000720)(up 7.50%), KoreaElectricPower(015760)(up 6.42%), and DOOSAN ENERBILITY(034020)(up 6.32%) continued to post gains.

In contrast, the shipping sector was weak. This was due to increased attention on easing tensions in the Middle East, following reports by Russia’s state-run RIA Novosti news agency that the U.S. and Iran had agreed to a ceasefire. Consequently, PanOcean(028670)(-12.07%), HMM(011200)(-5.74%), and KoreaLine(005880)(-4.42%) all fell.

The KOSDAQ closed at 826.87, down 0.28 points (0.03%) from the previous session. The index opened at 824.77, down 2.38 points (0.29%) from the previous trading day, and remained in a narrow range throughout the session. By investor type, retail investors were net buyers of 192.9 billion won, while foreign and institutional investors were net sellers of 91.8 billion won and 105.2 billion won, respectively.

The direction of the domestic stock market is expected to be influenced by the PCE data and NVIDIA’s earnings release. In particular, the key factor for NVIDIA’s earnings is whether it can maintain an operating profit margin of 75%.

The analyst stated, “If NVIDIA’s earnings exceed expectations, upward momentum will strengthen, but if they fall short of expectations, short-term volatility must be taken into account,” while adding, “The upward trend remains valid.” He continued, “The KOSPI has secured support at the 6,400 level and has recovered to the 6,800 level, indicating that a meaningful rebound is underway.”