SEOUL, April 29 (AJP) - Korea’s benchmark KOSPI stood out in Asia on Wednesday, closing at a fresh record high after rebounding from early losses driven by concerns over the sustainability of the artificial intelligence-driven rally.
The KOSPI rose 0.8 percent to close at 6,690.90, after hitting a low of 6,596.03 throughout the trading session. The index later reversed course to hit today's high of 6,702.38, highlighting resilient buying momentum despite external headwinds.
Institutional investors led the gains, purchasing 478.3 billion won ($323.6 million), worth of shares, as retail investors added 166.9 billion won. Foreign investors, however, sold 607.1 billion won, indicating persistent external selling pressure even as domestic investors absorbed the outflows.
The market opened weaker after concerns intensified over the profitability of artificial intelligence investments, following reports that OpenAI had fallen short of internal targets for user growth and revenue. The news weighed on global technology sentiment and pressured semiconductor shares early in the session.
Heavyweight chipmakers showed mixed performances. Samsung Electronics rose 1.8 percent to 226,000 won, helping support the broader index, while SK hynix slipped 0.5 percent to 1,293,000 won, reflecting sensitivity to shifts in AI-related sentiment.
Gains were led by energy, defense and industrial shares, as investors rotated into sectors benefiting from rising oil prices and escalating geopolitical tensions. Hanwha Aerospace advanced 1.8 percent, while HD Hyundai Heavy Industries climbed 3.5 percent. SK Square gained 2.3 percent and Doosan Enerbility rose 1.1 percent.
Oil prices remained elevated amid supply concerns linked to tensions surrounding the Strait of Hormuz, with Brent crude trading above $113 per barrel and West Texas Intermediate holding above $101, reinforcing inflation concerns and supporting energy-related stocks.
Investors also remained cautious ahead of the United States Federal Reserve’s policy decision, focusing on its outlook for inflation as rising energy prices add to global cost pressures.
The KOSDAQ also closed higher, rising 0.4 percent to 1,220.30 after moving between 1,206.11 and 1,220.94 during the session.
On the secondary bourse, retail investors bought 143.2 billion won worth of shares, while foreign and institutional investors sold 19.6 billion won and 83.8 billion won, respectively, reflecting a divergence in investor positioning.
Among KOSDAQ stocks, performance was mixed, with gains in select biotech names offset by declines in semiconductor and robotics shares.
Alteogen rose 0.9 percent, while Rainbow Robotics fell 0.6 percent and Ecopro BM slipped 0.5 percent.
The Korean won weakened to 1,477.9 per dollar, down 4.3 won from the previous session.
In other parts of Asia, Hong Kong’s Hang Seng Index rose 1.4 percent to 26,032.7 and China’s Shanghai Composite gained 0.7 percent to 4,107.5, while Japan’s Nikkei 225 fell 1.0 percent to 59,917.5.
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