SEOUL, May 04 (AJP) - Korea’s benchmark KOSPI led gains across Asia on Monday, surging more than five percent to a fresh high as markets in China and Japan remained closed for holidays, while Hong Kong posted comparatively modest gains.
The KOSPI closed 5.12 percent higher at a record 6,936.99, after moving between an intraday low of 6,741.63 and a high of 6,937.00.
The rally was driven by strong foreign and institutional buying, with foreign investors purchasing 3.00 trillion won ($2.04 billion) worth of shares and institutions adding 1.94 trillion won, while retail investors sold 4.79 trillion won, indicating a market led by offshore and institutional flows.
Large-cap technology and semiconductor stocks led the advance, supported by continued optimism over artificial intelligence investment and improving global tech sentiment.
SK hynix jumped 12.5 percent to close at 1,447,000 won, after touching an intraday high of 1,450,000 won, while SK Square surged 17.8 percent to 991,000 won.
Samsung Electronics rose 5.4 percent to 232,500 won, extending gains across the broader chip sector.
Gains also spread to other sectors. LG Energy Solution climbed 2.5 percent to 472,000 won, while Hyundai Motor added 1.5 percent to 539,000 won.
In the industrial and defense sector, Hanwha Aerospace rose 3.4 percent to 1,465,000 won and Doosan Enerbility edged up 0.1 percent to 127,200 won, while HD Hyundai Heavy Industries slipped 0.7 percent to 680,000 won.
Biotech heavyweight Samsung Biologics rose 1.02 percent to 1,485,000 won.
By sector, conglomerates led the gains, rising 11.6 percent, followed by electrical equipment and securities, which both climbed 8.6 percent.
Theme-wise, cable-related stocks surged 17 percent, while power equipment and optical communication sectors advanced 11.4 percent and 10.5 percent, respectively.
On the junior KOSDAQ, the index rose 1.8 percent to close at 1,213.74, moving between 1,211.39 and 1,222.65 during the session.
Foreign investors bought 555.3 billion won worth of shares, while retail investors sold 448.9 billion won, and institutions offloaded 73.6 billion won.
Among major stocks, battery and materials names led the gains. EcoPro rose 1.9 percent to close at 155,800 won, while EcoPro BM jumped 4.6 percent to 215,500 won.
Biotech stocks were mixed. Alteogen gained 1.2 percent to 373,000 won, while HLB edged up 0.2 percent to 60,900 won and Peptron climbed 2.7 percent to 267,500 won. Samchundang Pharm, however, fell 1.4 percent to 409,500 won.
In the robotics and equipment sector, Rainbow Robotics rose 3.2 percent to 685,000 won, while LEENO Industrial added 1.3 percent to 120,800 won.
The Korean won strengthened 0.5 percent to 1,467.7 per dollar.
Elsewhere in Asia, Hong Kong’s Hang Seng Index rose 1.3 percent to 26,120.0, while Japan’s Nikkei 225 and China’s Shanghai Composite remained closed for holidays.
Market sentiment was also supported by developments in the Middle East, as the United States announced a new initiative, dubbed “Project Freedom,” aimed at facilitating the movement of commercial vessels through the Strait of Hormuz.
Under the plan, U.S. Central Command said it would deploy guided missile destroyers, more than 100 aircraft and unmanned platforms, and around 15,000 personnel to support maritime operations. However, officials indicated that direct naval escort of commercial ships would not be part of the operation, suggesting a coordination-based approach involving governments, insurers, and shipping firms.
The initiative comes amid mounting pressure in global energy markets, with more than 2,000 vessels and approximately 20,000 crew members stranded in and around the Strait of Hormuz, according to the International Maritime Organization.
Oil prices remained volatile. Brent crude traded at $108.8 per barrel, up 0.6 percent, while West Texas Intermediate rose 0.5 percent to $102.5.
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