Average daily transactions in South Korea’s benchmark index exceeded 40 trillion won ($26.4 billion) this month, marking a record-breaking market rally. Data from the Korea Exchange revealed that the Korea Composite Stock Price Index (KOSPI) saw a daily turnover averaging 48.05 trillion won in the first 22 days of May. This figure set a new record high for monthly average turnover, surpassing the previous peak of 32.23 trillion won in February.
The KOSPI continued its upward trend, reaching unprecedented levels this month. On May 6, the index crossed the 7,000-point milestone for the first time and briefly surged above 8,000 in intraday trading on May 15. By the end of the month, the KOSPI closed at 7,847.71, reflecting a 19% increase from April’s closing.
Market leaders like Samsung Electronics Co. and SK hynix Inc. played a significant role in driving the surge in turnover. The combined daily trading value for these companies averaged 20.57 trillion won during the period, constituting 43% of the KOSPI’s total daily turnover. Analysts noted that despite economic concerns, investors are focusing their investments on AI-related industries due to their strong growth potential, intensifying since the AI investment rally in 2023.
In a separate development, a recent poll indicated a positive shift in South Korea’s manufacturing confidence. The professional survey index (PSI) for the manufacturing sector’s business outlook rose to 107 for June, up from 95 in May, signaling a rebound into positive territory after three months. Notably, the chip industry outlook for June stood at 156, showing a notable increase from the previous month’s estimate of 150.
