Kospi reclaims 6,900 as Samsung Electronics and SK Hynix rally

The Kospi rose 60.37 points, or 0.88%, to 6,912.95 on Aug. 21, reclaiming 6,900 for the first time since Aug. 14, when it closed at 6,977.94. The index initially fell 92.63 points, or 1.35%, as investors took profits, but turned higher about 40 minutes after the open when Samsung Electronics Co. and SK Hynix Inc. reversed into gains. Buying was supported by SK Hynix's 40 trillion won open-market share buyback and shareholder-return plan, as well as a Bloomberg report that Samsung Electronics would announce a new shareholder-return package worth 90 trillion won to 110 trillion won at 4 p.m. Institutions were net buyers of 248.4 billion won, while foreign and retail investors sold 171.1 billion won and 1.1655 trillion won, respectively. The Kosdaq Index fell 38.95 points, or 4.63%, to 801.94, with losses triggering a sell-side sidecar, a temporary halt to program sell orders. The move followed weaker U.S. markets on Aug. 20, although semiconductor shares rose overnight.

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