South Korea's benchmark KOSPI broke through the 6,380 level to set a new all-time high, driven by a simultaneous rally in semiconductor and secondary battery stocks.
The KOSPI closed at 6,388.47 on Monday, up 169.38 points, or 2.72%, from the previous session, according to the Korea Exchange. The close surpassed the previous record of 6,307.27 set on February 26 this year, marking a new all-time closing high roughly two months later. It also comfortably exceeded the previous intraday peak of 6,347.41. The KOSDAQ index rose 4.18 points, or 0.36%, to 1,179.03, closing higher for the eighth consecutive session.
On the supply-demand front, foreign and institutional investors led the index higher. Foreigners net purchased 1.75 trillion won and institutions bought a net 796.4 billion won, while retail investors alone net sold 2.36 trillion won, taking profits.
Monday's rally was clearly led by semiconductor and secondary battery stocks. SK hynix (000660.KS) broke above 1.2 million won during the session and climbed further into the 1.22 million won range, extending its record-high run. Samsung Electronics (005930.KS) also closed higher at 219,000 won.
Earnings expectations are serving as a direct catalyst for the semiconductor sector. With SK hynix's first-quarter operating profit projected at around 40 trillion won, expectations for upward revisions to earnings estimates are growing, and foreign investors are expanding net purchases centered on large-cap chip stocks.
The secondary battery sector also rebounded strongly. LG Energy Solution (373220.KS) surged more than 11%, and Samsung SDI (006400.KS) jumped nearly 19%, amplifying the index's gains. Analysts attribute the move to a combination of factors, including energy supply uncertainty, expectations for expansion in the energy storage system (ESS) market, and a rebound in lithium prices.
Most top market-cap stocks also advanced. Samsung Electronics preferred shares (2.73%), Hyundai Motor (3.61%), SK Square (2.43%), and Doosan Enerbility (4.23%) rose in tandem, while some names such as Samsung Biologics (-1.06%) and Hanwha Aerospace (-2.39%) weakened.
Analysts see the market shifting toward an "earnings-driven rally." With expectations building for easing war risks, investor attention is moving toward corporate fundamentals, they said.
"With earnings announcements from major companies including SK hynix, Tesla, and Intel due this week, market attention is shifting to fundamentals," said Lee Jae-won, an analyst at Yuanta Securities Korea. "Semiconductors and secondary batteries are the key axes driving the index higher."
Limited valuation pressure is another positive factor. "The KOSPI's 12-month forward price-to-earnings ratio stands at around 7 times, placing it in an undervalued range compared to historical levels," Lee said. "Even though the index has set a new high, there is still room for further upside."
