Kospi market cap tops W3,000tr as market hits new high

A trading board shows the benchmark Kospi closing at a record 3,657.28 at the Korea Exchange in Yeouido, western Seoul, on Wednesday. (Yonhap)

The South Korean benchmark stock index, Kospi, climbed to a new all-time high Wednesday, surpassing the 3,650 milestone for the first time, while its total market capitalization topped 3,000 trillion won ($2.11 trillion).

The Kospi closed at 3,657.28, up 95.47 points, or 2.68 percent, from the previous session, breaking its earlier record close of 3,610.6 set on Friday — in just three trading days.

During intraday trading, the index hit 3,659.91, exceeding Tuesday’s intraday record of 3,646.77 and marking the first time it has ever risen above the 3,650 level.

The Kospi opened at 3,580.64 and steadily advanced throughout the day, surpassing 3,600 within an hour after the opening bell before rallying past 3,650 around 2 p.m.

The index’s combined market capitalization reached 3,011.9 trillion won, crossing the 3,000 trillion won threshold for the first time in its history. While the total capitalization of Korea’s stock market — including both the Kospi and the secondary Kosdaq — had exceeded that mark on July 10, this was the first time the Kospi did so on its own.

Retail investors sold 970 billion won ($680 million) worth of shares to take profits, while foreign and institutional investors drove the rally with net purchases of 160 billion won and 750 billion won, respectively.

Blue-chip stocks led the surge, with Samsung Electronics and SK hynix each gaining 2–3 percent, while Samsung Biologics and Doosan Enerbility soared nearly 10 percent. More than 80 percent of Kospi-listed stocks ended higher, signaling broad-based strength across the market.

Investor sentiment was buoyed by growing expectations of a US Federal Reserve rate cut. On Tuesday, Fed Chair Jerome Powell hinted that the central bank remains on track to deliver another quarter-point rate reduction later this month.

Supported by the Kospi’s rally, the Kosdaq also advanced, closing at 864.72, up 16.76 points, or 1.98 percent, from the previous session.

The Korean won strengthened, ending at 1,421.3 per dollar, up 9.7 won from the previous day’s close.