Seoul Stocks Rebound as Investors Return to Chip Leaders

South Korean stocks rebounded sharply on Wednesday, ending a four-session losing streak as investors returned to major semiconductor shares after the market’s recent decline.

The benchmark Korea Composite Stock Price Index gained 90.71 points, or 1.37 percent, to close at 6,717.97. The index had opened slightly lower before reversing course, with bargain hunting in the country’s two largest chipmakers providing much of the upward momentum.

Samsung Electronics rose 2.01 percent to 253,500 won, while SK hynix advanced 4.08 percent to 1,759,000 won. Their gains stood out in a session when several other major stocks remained under pressure. Hyundai Motor fell 1.36 percent to 362,000 won, Hanwha Aerospace edged down 0.75 percent to 1,055,000 won, and Celltrion slipped 0.17 percent to 177,200 won.

Institutional investors were the main buyers, making net purchases worth 1.21 trillion won. Retail and foreign investors were net sellers. Trading remained relatively light, with 197.7 million shares changing hands for a total value of 15.9 trillion won, equivalent to about $11.6 billion. Despite the index’s rise, declining stocks outnumbered advancing issues by 576 to 303, indicating that the recovery was concentrated rather than marketwide.

Daishin Securities analyst Lee Kyoung-min said investors appeared to judge the recent pullback as excessive and focused their bargain buying on Samsung Electronics and SK hynix. He said the broader outlook for the memory-chip industry remained intact, helping the sector recover after recent losses.

Attention is now turning to the US Federal Reserve’s policy meeting, whose outcome could influence global risk appetite, interest-rate expectations and capital flows into Korean assets. The contrast between the KOSPI’s strong headline gain and the larger number of falling shares also leaves investors watching whether the rebound can broaden beyond semiconductors.

The Korean won weakened alongside the stock-market recovery. It was quoted at 1,368.6 won per dollar at 3:30 p.m., 9.2 won lower than at the close of the previous trading session. The currency move underscored continuing sensitivity to overseas monetary policy even as domestic equities found support from renewed demand for chip shares.