SEOUL (Azat TV) – South Korea’s benchmark Kospi index surged to a historic close of 5,221.25 points on Thursday, January 29, 2026, marking a 0.98 percent increase from the previous trading session. This record performance was largely propelled by strong corporate earnings and an intense wave of buying from individual investors, signaling a significant uplift in market optimism.
The surge pushed the Korean stock market’s overall capitalization to approximately USD 3.25 trillion, allowing it to surpass Germany and claim the 10th largest market position globally, according to Bloomberg. This remarkable ascent is attributed to the robust performance of tech giants benefiting from the global boom in artificial intelligence (AI) and robotics, alongside shareholder-friendly reforms.
Kospi’s Record Close and Investor Dynamics
The Kospi’s record-breaking day was characterized by a substantial trading volume of 689.9 million shares, valued at 35.4 trillion won (approximately US$24.8 billion). Despite initial profit-taking in major tech firms like Samsung Electronics and SK Hynix following their strong fourth-quarter earnings reports, the index quickly rebounded. Individual investors played a pivotal role, net purchasing 1.6 trillion won on Thursday alone, and nearly 3 trillion won (2.9581 trillion won) in Kospi stocks over the week from January 22 to 28, effectively offsetting net selling by pension funds and foreign investors.
Lee Kyung-min, an analyst at Daishin Securities Co., noted that the index recovered due to this influx of buying by individual investors, highlighting a ‘sectoral rotation’ as investors shifted focus from major chipmakers to non-semiconductor sectors and eventually to the smaller Kosdaq market.
Sectoral Performance and Broader Market Trends
While chip giant Samsung Electronics saw a slight dip of 1.05 percent to 160,700 won, its rival SK Hynix added 2.38 percent, reaching a historic high of 861,000 won and putting the ‘900,000 Nix’ target in sight. SK Square, a major shareholder in SK Hynix, also performed strongly, rising 5.36 percent. Beyond semiconductors, automotive leader Hyundai Motor jumped 7.21 percent to 528,000 won, and portal operator Naver closed up 3.42 percent.
The Kosdaq market, the secondary board, also experienced significant activity, with secondary battery stocks continuing their impressive run. EcoProBM regained its No. 1 position in market capitalization for the first time in a year and five months, closing up 7.42 percent at 246,000 won. This resurgence was largely driven by ‘humanoid momentum,’ according to market observers.
Brokerage firms, benefiting from the overall bullish market, also saw substantial gains. Mirae Asset Securities vaulted 17.39 percent to 40,850 won, partly buoyed by news that SpaceX is reportedly seeking to go public in June. Other firms like Korea Financial Group and Kiwoom Securities, a prominent retail powerhouse, saw jumps of 9.38 percent and 7.85 percent, respectively.
Increasing Debt Investment and Government Support
Amid the overheating stock market, there has been a rapid increase in ‘debt investment.’ The balance of credit transaction loans, as of January 28, stood at 29.596.2 trillion won, an increase of approximately 2.3 trillion won this year. This credit is notably concentrated around large stocks in the securities market that have been soaring since the beginning of the year.
The South Korean government has also expressed its commitment to supporting startups and early-stage businesses, actively encouraging public funds to invest in the Kosdaq market. This strategic push aims to diversify growth drivers and foster innovation within the economy. On the global front, the S&P 500 briefly topped 7,000 points on the same day, driven by continued optimism surrounding AI, though it later settled with minimal change.
The Kospi’s recent record-breaking performance, significantly fueled by individual investors and strong corporate fundamentals in key tech sectors, underscores a robust domestic market sentiment that is increasingly resilient to external pressures. This momentum, combined with the Korean market’s elevated global ranking, suggests a sustained period of investor confidence in the nation’s economic trajectory.