[E-Daily Reporter PARK MIN ] On the 1st, the KOSPI held onto the “6,800 level” for the second consecutive day, buoyed by net buying from other institutional investors. Although the KOSPI opened lower that day due to the resumption of military clashes between the U.S. and Iran overnight and the resulting rise in oil prices, net buying by other institutional investors—driven by share buybacks by SamsungElectronics(005930)and #SK Hynix—defended against the decline, allowing the index to close slightly higher.

According to MP Doctor, the KOSPI closed at 6,835.80, up 15.78 points (0.23%) from the previous trading day. It got off to a shaky start, falling as low as 6,732.47 early in the session. However, it recovered its losses—rising as high as 6,857.35 during the session—and fluctuated around the 6,800 mark before closing slightly higher.

By investor type, the “three major market participants”—retail investors (-539.8 billion won), foreign investors (-491.7 billion won), and institutional investors (-634.1 billion won)—all recorded net selling. In contrast, “other corporations” were the sole group to record net buying of 1.6657 trillion won, absorbing most of the selling volume. This is interpreted as reflecting share buybacks by SamsungElectronics and SK hynix.

Previously, SK hynix announced a 40 trillion won share buyback and cancellation plan, while SamsungElectronics announced a 15 trillion won share buyback plan for employee compensation. Since then, SK hynix has been purchasing 650,000 shares daily from the 20th through today, causing the daily average net purchase value by “other corporations” to exceed 1 trillion won.

In particular, the announcement that South Korea’s semiconductor exports for August reached $98.25 billion—marking the “third-highest monthly figure on record”—also provided a tailwind for SamsungElectronics and SK hynix. On this day, SamsungElectronics closed at 261,000 won, up 0.38% from the previous trading day, while SK hynix rose 1.14% to 1,693,000 won. SamsungElectronics(1P)(005935)(2.04%) and SKSQUARE(402340)(2.89%) also showed strength.

In addition, SAMSUNG C&T CORPORATION(028260)rose 3.72% to 390,500 won, and Samsung Life Insurance(032830)(1.14%) also posted gains. On the other hand, LG Energy Solution(373220)(-2.91%), SamsungElectroMechanics(009150)(-1.92%), and HyundaiMotor(005380)(-0.74%) closed lower.

Amid a recent sharp decline in stock market trading volume, the market expects that share buybacks by SamsungElectronics and SK hynix will serve as new sources of supply and demand for the KOSPI for the time being. As of today, the cumulative volume of share buybacks by the two companies is only in the 20% range of their planned targets, leaving them with ample room to continue buying.

Claim

Meanwhile, the KOSDAQ closed at 821.25, down 13.04 points (1.56%) from the previous trading day, as the pharmaceutical/biotech, secondary battery, and semiconductor materials, parts, and equipment sectors all fell across the board. After reaching 833.52 early in the session, the market continued its sluggish trend as selling pressure persisted, pushing the index down to an intraday low of 815.52.

By investor type, retail investors were the sole net buyers, purchasing 433.8 billion won, while foreign and institutional investors were net sellers of 151.5 billion won and 274.8 billion won, respectively, dragging the index down. Program trading recorded a net sell of 5.9 billion won in arbitrage trading and a net buy of 181.8 billion won in non-arbitrage trading, resulting in an overall net sell of 187.7 billion won. In the KOSDAQ market, 686 stocks rose and 950 fell.

Most of the top-market-cap stocks on the KOSDAQ market were in the red. Major biotech stocks, including Alteogen Inc.(196170)(-2.11%), HLB INC.(028300)(-4.35%), and PharmaResearch(214450)(-2.82%), fell across the board. Leading secondary battery stocks such as ECOPRO CO., LTD(086520)(-4.49%) and ECOPRO BM CO., LTD.(247540)(-3.81%) also recorded declines in the 3–4% range.

The declines in semiconductor materials, parts, and equipment stocks were also notable. Companies such as SIMMTECH Co., Ltd. (-2.86%), EO Technics Co., Ltd. (-2.48%), JUSUNG ENGINEERING Co.,Ltd. (-2.26%), LEENO Industrial Inc. (-1.65%), and WONIK IPS Co.,Ltd. (-1.35%) all showed a downward trend.

By sector, amid increased oil price volatility, the oil and gas sector rose 5.16%, and the non-life insurance sector—considered a beneficiary of rising interest rates—gained 3.20%. Department stores and general retailers (3.09%) and trading companies and distributors (2.03%) also posted solid gains.

Conversely, sectors such as electronics (-4.39%), cosmetics (-3.73%), online and catalog retail (-3.66%), and aerospace and defense (-3.45%) could not escape weakness as profit-taking selling pressure intensified.

Han Ji-young, an analyst at KIWOOM Securities, predicted, “There will likely be some short-term volatility as the market digests various factors—including key indicators such as South Korean exports and U.S. employment figures, as well as the direction of long-term U.S. bond yields—starting in the first week of September.” She added, “However, we expect the overall stock market trend to continue its recovery, and there is a possibility that KOSPI earnings consensus estimates could be raised further during the third-quarter earnings preview period.”