[Edaily Reporter Kim Kyung-eun ] The KOSPI, which had plummeted more than 3% early in the session, turned higher and recovered to the 6,800 level at the close. Buying by other institutional investors, spurred by share buybacks by SamsungElectronics and SK hynix, helped the index recoup its losses.

According to MP Doctor on the 31st, the KOSPI closed at 6,820.02, up 31.14 points (0.46%) from the previous trading day. The index opened at 6,613.58, down 175.30 points (2.58%) from the previous close, and fell more than 3% during the session but narrowed its losses in the afternoon.

Early in the session, the possibility of a September benchmark interest rate hike came into focus, dragging down the index. This was influenced by U.S. Federal Reserve (Fed) Chairman Kevin Warsh’s hawkish (in favor of monetary tightening) stance at the Jackson Hole Economic Symposium. Additionally, China’s Changxin Memory (CXMT) reporting a surge in first-half revenue and renewed military tensions between the U.S. and Iran acted as negative factors for the market.

The index was driven higher by buying from “other entities,” which is believed to be related to share buybacks by SamsungElectronics and SK hynix. These “other entities” made net purchases of 1.5773 trillion won in the market that day. In contrast, retail investors made net sales of 144.3 billion won, foreign investors sold a net 639.9 billion won, and institutional investors sold a net 793.1 billion won.

Lee Kyung-min, an analyst at DaishinSecurities, said, “The domestic stock market opened lower as it digested external factors such as the Jackson Hole meeting and the potential for military conflict between the U.S. and Iran, but excessive caution eased as the rise in U.S. Treasury yields stabilized.” He added, “With net buying by ‘other corporations’ supporting the bottom line for the top two semiconductor companies, large-cap semiconductor stocks recovered their intraday losses, leading the domestic stock market to show a pattern of weakness early in the session but strength later on.”

SamsungElectronics and SK hynix, the two stocks with the highest market capitalization on the KOSPI, also fell by around 3% early in the session but turned positive just before the close. SamsungElectronics(005930)closed at 260,000 won, up 3,000 won (1.17%) from the previous trading day. SK hynix(000660)closed at 1,674,000 won, up 21,000 won (1.27%).

Among other top-market-cap stocks, SKSQUARE(402340)(0.88%), SamsungElectroMechanics(009150)(2.60%), LG Energy Solution(373220)(2.16%), HyundaiMotor(005380)(1.00%), SAMSUNG BIOLOGICS(207940)(2.15%), and KB Financial Group(105560)(0.99%) rose. Samsung Life Insurance(032830)(-1.29%), HANWHA AEROSPACE(012450)(4.75%), and DOOSAN ENERBILITY(034020)(6.46%) fell.

The KOSDAQ closed at 834.29, down 4.12 points (0.49%) from the previous trading day. The index opened at 821.67, down 16.74 points (2.00%) from the previous close, but narrowed its losses just before the close to end the session near the previous day’s level.

By investor type, retail investors were net buyers of 255.3 billion won, while foreign and institutional investors were net sellers of 54.2 billion won and 201.5 billion won, respectively.

The two top-market-cap stocks on the KOSDAQ showed mixed performance. Alteogen Inc.(196170)closed at 307,500 won, down 12,500 won (3.91%) from the previous session. ECOPRO CO., LTD(086520)closed at 91,300 won, up 1,100 won (1.22%) from the previous trading day.

In addition, ECOPRO BM CO., LTD.(247540)(2.20%), Rainbow Robotics(277810)(0.99%), JUSUNG ENGINEERING Co.,Ltd.(036930)(0.11%), and WONIK IPS Co.,Ltd.(240810)(0.36%) rose. On the other hand, LEENO Industrial Inc(058470)(-0.30%), HLB INC.(028300)(-1.11%), PharmaResearch(214450)(-7.69%), and Peptron, Inc.(087010)(-4.78%) fell.