12.09.202501:28:16UTC+00KOSPI Climbs on Wall Street Gains and Policy Relief

The benchmark KOSPI index advanced by 1.05% to approximately 3,379 on Friday, achieving its eighth consecutive session of gains. This surge was largely driven by technology and semiconductor stocks, mirroring gains seen in the Wall Street market overnight. Investor sentiment was strengthened by the latest U.S. Consumer Price Index (CPI) report, which indicated a greater-than-expected easing in inflation. This data has reinforced expectations that the Federal Reserve might refrain from implementing further interest rate hikes and could potentially move towards policy easing later in the year. Domestically, President Lee Jae Myung decided against proceeding with changes to the capital gains tax on stock investments, citing concerns that such revisions could destabilize the market. The proposal, which aimed to reduce the threshold for classifying 'large shareholders,' had met with opposition from retail investors. Its withdrawal has reduced policy uncertainty and provided additional support to the equities market. Significant gains were noted among stocks like Kakao Corporation, which rose by 6.51%, SK Hynix, up by 4.40%, and Samsung Electronics, which increased by 1.91%. Conversely, Kia Corporation experienced a decline of 1.03% and Hyundai Motor saw a decrease of 0.67%.