While the KOSPI surged more than 30% last month to extend its record-high rally, several sectors posted even steeper gains. Electronics, led by semiconductors, drove the overall rise, while cyclical sectors including machinery, equipment and construction also showed strength.
According to the financial investment industry Tuesday, the KOSPI climbed 30.61% last month, the highest gain among major global indexes. By sector, electronics rose the most at 43.16%. The advance was driven by large-cap semiconductor stocks, with Samsung Electronics (005930.KS) up 31.88% and SK hynix (000660.KQ) up 59.36%. Among individual stocks, Kwangjeon Electronics alone surged 269.65%, recording the highest gain within the sector.
The machinery and equipment sector also rose 40.62%, significantly outperforming the index. Within the sector, Hanwha Engine led the advance with a 102.07% surge. Construction climbed 37.59%, extending its strength, with Daewoo E&C rising 125.08% for the highest return in the sector. Manufacturing also gained 35.18%, outpacing the KOSPI, while Woosung Materials soared 895.30%.
Some sectors, however, lagged. Entertainment and culture fell 6.76%, while pharmaceuticals slipped 1.53%, leaving these sectors on the sidelines of the rally. In April, retail investors aggressively bought sector bellwethers HYBE (437.6 billion won) and Samsung Biologics (422.6 billion won), but the stocks underperformed amid an arrest warrant request against HYBE Chairman Bang Si-hyuk and a full-scale labor union strike at Samsung Biologics.
Brokerages are focusing on the possibility that market leadership will broaden in May after last month's rally was centered on semiconductors. Lee Jung-bin, an analyst at Shinhan Securities, said, "Investor attention is shifting toward finding leading stocks that can generate alpha (additional returns) in non-semiconductor areas." He added, "Earnings momentum is becoming visible in IT hardware, power equipment, nuclear power and brokerages, raising the possibility that these could emerge as market leaders going forward."
