Kospi inches up 0.43% as investors bet big on back of chip export data

Shares ended higher Thursday, rebounding after a sharp fall earlier in the day, as major semiconductor shares gained ground after export data proved the sector's robust performance, while uncertainties over the U.S.-Iran war remained in place.

After choppy trading, the benchmark Kospi added 33.13 points, or 0.43 percent, to close at 7,763.95, after starting the day nearly 3 percent lower from the previous session.

The secondary Kosdaq surged 4.76 percent to end at 996.93, with the bourse operator having issued a sidecar for the index at around 1:58 p.m., halting program trading for five minutes.

The Kospi's trade volume was moderate at 472.6 million shares worth 45.2 trillion won ($29.5 billion), with winners outnumbering losers 575 to 318.

Retail investors pushed up the main index, purchasing 2.07 trillion won worth of local shares, while foreigners continued their sell-off for the 24th consecutive session, dumping a net 1.47 trillion won. Institutions unloaded 755.4 billion won.

The Kospi had kicked off weakly, tracking an overnight tech slide on Wall Street, but turned higher as investors bet on the continued strong performance of the semiconductor sector after government data showed Korea's chip exports more than tripled from a year earlier in the first 10 days of June to $11 billion.

The country's overall exports for the period reached a new high of $28.6 billion, up 86 percent on year.

The U.S. Consumer Price Index for May, key inflation data that drew investors' attention, was softer than expected, also helping soothe the market's risk-off sentiment, Kang Jin-hyuk, an analyst at Shinhan Securities, said.

On Wednesday, the Dow Jones Industrial Average closed 1.87 percent lower, the S&P 500 fell 1.62 percent, and the tech-heavy Nasdaq composite shed 1.98 percent, as investors unloaded tech shares as woes brewed over the high valuation of AI stocks.

Nvidia dipped 3.73 percent, Broadcom slid 5.12 percent, Super Micro Computer tumbled 28 percent, and AMD dropped 4.86 percent.

But uncertainties surrounding the Middle East crisis continue, with the United States launching additional strikes against Iran, Kang added.

In Seoul, Samsung Electronics started more than 3 percent lower but ended up only losing 1.16 percent to 299,000 won. SK hynix turned higher, rising 2.59 percent to 2.1 million won.

SK Square jumped 3.8 percent.

Auto, battery and electrical shares were mixed.

Hyundai Motor lost 0.83 percent to 597,000 won, and Kia slipped 2.32 percent to 156,000 won. Hyundai Mobis increased 1.05 percent to 576,000 won.

LG Energy Solution shed 0.26 percent to 384,500 won and Samsung SDI gained 0.4 percent.

Samsung Electro-Mechanics was flat at 1.8 million won, but HD Hyundai Electric surged 4.77 percent to 1.03 million won.

Shipbuilders also went separate directions, with HD Hyundai Heavy adding 0.78 percent to 646,000 won and Hanwha Ocean dipping 5.17 percent to 104,500 won.

Doosan Enerbility retreated 2.74 percent to 88,600 won, and Hanwha Aerospace pulled back 1.65 percent to 1.01 million won.

The won weakened by 4.7 won from the previous session against the dollar to trade at 1,528.9 won. 

Yonhap