KOSPI tops 4,000,drives global stock rally

The benchmark Korea Composite Stock Price Index, or KOSPI, surpassed 4,000 for the first time on Monday, marking a historic milestone.

On Oct. 27, the KOSPI closed at 4,042.83, up 2.57% from the previous session, surpassing 4,000 for the first time in its history. It was the KOSPI’s first breakthrough above 4,000 in four years and nine months, since closing above 3,000 on Jan. 7, 2021, and 45 years after its launch on Jan. 4, 1980.

The index has risen 68 percent this year, outpacing the U.S. S&P 500, up 15.5 percent, and the Nasdaq Composite, which gained 20.2 percent. Compared with Japan’s Nikkei 225 at 28.6 percent, Hong Kong’s Hang Seng at 31.7 percent, and Germany’s DAX at 21.1 percent, the KOSPI’s surge ranks among the strongest globally.

South Korea’s semiconductor giants, Samsung Electronics and SK hynix, have driven the rally, rising 70 percent and 82 percent, respectively, in the second half of the year. Investor optimism has grown amid strong demand for artificial intelligence chips and rising DRAM prices. On Monday, Samsung Electronics, the KOSPI’s largest component, rose 3.24 percent to close at 102,000 won, surpassing the 100,000-won mark for the first time. SK hynix also hit a record high, gaining 4.90 percent to finish at 535,000 won.

Analysts said the rally reflects an “AI supercycle,” driven by strong earnings, easing U.S.-China trade tensions, and expectations of U.S. interest rate cuts.


한재희기자 hee@donga.com