KOSPI Rebound Triggers Buy-Side Sidecar; Samsung Electronics, SK Hynix Jump More Than 7%
Summary
- KOSPI 200 futures jumped 5.22%, triggering a buy-side sidecar.
- Foreign and institutional net buying helped the KOSPI rebound, while semiconductor heavyweights including Samsung Electronics and SK Hynix surged more than 7%.
- On the Kosdaq, shares of semiconductor equipment and parts makers, along with EcoPro BM and Alteogen, also rose as individuals and institutions posted net buying.
Forecast Trend Report by Period
A buy-side sidecar, which temporarily suspends program buy orders on South Korea’s benchmark stock market, was triggered as the KOSPI surged on gains in heavyweight semiconductor shares.
The Korea Exchange said the measure was activated at 10:51:56 a.m. on October 21 after KOSPI 200 futures jumped. At the time, KOSPI 200 futures stood at 904.84, up 44.94 points, or 5.22%, from the reference level of 859.90.
A buy-side sidecar is triggered when KOSPI 200 futures rise more than 5% from the reference price and hold that level for one minute. The measure is intended to limit spillover from sharp moves in the futures market into the cash market. Once activated, program buy orders are suspended for five minutes. On October 21, the halt remained in place until 10:56:56 a.m.
The rebound appears to reflect bargain hunting after the previous session’s sharp selloff. The KOSPI had fallen to its lowest level in six months in the prior trading session. Foreign and institutional investors then turned net buyers, supporting the benchmark’s recovery. Buying was concentrated in semiconductor heavyweights including Samsung Electronics and SK Hynix.
Samsung Electronics was trading at 226,750 won, up 15,250 won, or 7.21%, from the previous session. SK Hynix rose 93,000 won, or 7.60%, to 1,316,000 won. SK Square gained 6.61% to 790,000 won. Other major Samsung Group affiliates were also broadly higher, including Samsung C&T, up 6.18%, Samsung Electro-Mechanics, up 3.29%, and Samsung Life Insurance, up 3.16%.
The Kosdaq index also extended gains. As of the same time, the tech-heavy gauge was up 14.74 points, or 1.88%, at 796.71. It opened at 793.40 and climbed as high as 803.68 during the session before falling to 785.53 and then rebounding. By investor type, individuals and institutions were net buyers of 48.9 billion won and 49.7 billion won, respectively, while foreigners were net sellers of 101.3 billion won.
On the Kosdaq, semiconductor equipment and parts makers led the gains. EO Technics rose 4.16% to 438,500 won. Jusung Engineering gained 3.99%, Wonik IPS added 2.23%, and Simmtech advanced 1.85%. EcoPro BM climbed 3.61% to 109,000 won, while Alteogen rose 3.25% to 238,500 won.
Meanwhile, the won was trading at 1,327.50 per dollar in Seoul, up 1.50 won from the previous session.
