KOSPI 4200 Breakout SK Hynix Rally: Tech Giants Lead Year-End Surge

A 2.2% surge pushed the KOSPI past the 4,200 mark. South Korea's chip giants are spearheading a powerful year-end rally as investor sentiment turns bullish.

KOSPI 4200 Breakout Fueled by Semiconductor Gains

On Dec. 29, 2025, the benchmark index added 90.88 points to close at 4,220.56, its highest level in nearly two months. The rally was sparked by SK hynix, which spiked 6.84% to 640,000 won after the Korea Exchange lifted its investment warning designation. Market leader Samsung Electronics also advanced 2.14% to 119,500 won.

Foreign investors were the main drivers, snapping up a net 331.46 billion won worth of shares. According to Kiwoom Securities analyst Han Ji-young, the removal of SK hynix from the warning list significantly bolstered sentiment, extending the traditional 'Santa rally'.

Stronger Won and Sector Performance

The Korean won strengthened to 1,429.8 won against the dollar, up 10.5 won from the previous session. This recovery comes as foreign exchange authorities warned against excessive weakness and pledged market stabilization.

• Defense & Energy: Hanwha Aerospace skyrocketed 9.08%, while Doosan Enerbility rose 3.94%.
• Automotive: Hyundai Motor surged 2.62%, following strong year-end demand expectations.