South Korean markets had a strong start to the week as stocks jumped 2% on Monday, driven by a major rally in Samsung Electronics, which soared over 7% after announcing a massive share buyback plan. Here’s a simple round-up of the action:
Stock Market Highlights:
- KOSPI Index: Rose 50.21 points (2.08%) to 2,467.07.
- Samsung Electronics: Surged 7.1% after revealing a 10 trillion won ($7.2 billion) share buyback plan over the next year. This comes after the company’s shares hit a four-year low last week.
- Other Movers: LG Energy Solution climbed 3.23%, Hyundai Motor gained 3.64%, and Kia Corp rose 3.28%. However, SK Hynix dipped by 1.07%.
Investor Sentiment:
- Foreign Investors: Bought shares worth 89.2 billion won on the main board, showing strong confidence in the market.
- Out of 934 companies traded, 665 stocks gained, while 223 declined.
Currency and Bonds:
- Korean Won: Strengthened by 0.42% against the US dollar to 1,393.6 per dollar.
- Bond Market: Yields fell slightly, with the three-year treasury bond yield down to 2.923% and the 10-year yield at 3.068%.
Context:
Despite the day’s rally, the KOSPI index has dropped 7.09% this year, and the won has weakened by 7.6% against the dollar. However, Monday’s gains offer a much-needed boost to the market.
Samsung’s bold move to reward shareholders appears to be lifting investor confidence across the board.
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