SEOUL, Feb 28, 2026, 16:03 (KST) — The market has closed.
- Kospi slipped 1% to finish Friday at 6,244.13. Even so, the index managed a 7.5% gain for the week.
- Foreign investors unloaded shares in size as chip leaders lost ground, while Hyundai Motor shot up to a record high.
- Korea Exchange will be closed Monday for a substitute holiday. Look to Sunday’s trade data for the next signal.
South Korean shares wrapped up a high-profile week on a choppy note, with the Kospi index briefly topping 6,000 for the first time before profit-takers and heavy foreign selling knocked it lower late Friday. Trading now pauses for the weekend.
The Kospi dropped 1% on Friday to close at 6,244.13, snapping a six-day run of gains. Still, the index managed to notch a 7.5% gain on the week. Samsung Electronics gave up 0.69%, SK Hynix slid 3.46%. Hyundai Motor, meanwhile, jumped 10.67% to hit its highest level ever. “Some investors sold shares to lock in profits,” said Lee Seong-hoon, analyst at Kiwoom Securities. Korea Joongang Daily
Here’s why it’s grabbing attention: Korea is suddenly front and center for investors across Asia, thanks to a blistering chip rally. On Wednesday, the Kospi surged through the 6,000 mark as AI hype sent semiconductor names soaring. Both Samsung Electronics and SK Hynix notched new records.
Policy’s also in play here. This week, Parliament signed off on changes to the Commercial Act requiring listed companies to cancel any newly bought-back treasury shares within a year—a step aimed squarely at the so-called “Korea discount,” the valuation gap often tied to governance worries. Reuters
Even so, there’s a clear push and pull in the data. Foreigners unloaded a record 21.14 trillion won during February, according to Seoul Economic Daily. On the other side, retail investors piled cash into index and chip-focused ETFs — those baskets trading on the exchange like individual stocks. Shinyoung Securities’ Kim Hak-kyun thinks stronger won momentum could bring foreign money back into net buying. Then there’s Hana Securities’ Hwang Seung-taek, who points to the MSCI developed-market review coming up in June as the next thing on investors’ minds.
The Kospi jumped roughly 7.5% for the week, closing out Friday at 6,244.13. That’s up from last week’s 5,808.53, with the index hitting new highs along the way.
The Kosdaq, which tracks Korea’s tech and growth names, jumped roughly 3.4% for the week, closing Friday at 1,192.78 after starting at 1,154.00 the week before.
Friday saw foreign investors dump 6.83 trillion won in South Korean shares—the heaviest single-day outflow ever tracked by Reuters. The won slid to 1,439.7 per dollar. Hyundai shares, meanwhile, rallied after news broke of its plans for an AI data centre and a new robot manufacturing facility, according to the report.
Macro traders get another data point soon: South Korea will release its February trade numbers at 9 a.m. local time on Sunday, March 1. A Reuters poll projects exports climbed for a ninth month, driven by strong chip sales. “There is a high possibility of semiconductor export growth exceeding 100% throughout the first half,” Meritz Securities analyst Stephen Lee said. Reuters
The pace of the rally itself has become a risk factor. Korea’s rapid climb into early 2026 is already drawing scrutiny, with Reuters’ Jamie McGeever flagging concerns that this market jump might be overreaching. Bulls keep leaning on earnings forecasts and reform hopes, but skepticism is growing.
Global tech sentiment remains a focal point. Reuters’ “Morning Bid” called out Thursday’s almost 4% surge in the Kospi, connecting the rally to strong Nvidia earnings—but pointed out that the U.S. response didn’t quite match the enthusiasm implied by those headline results. Reuters
Korea Exchange won’t open Monday, March 2, because of a substitute holiday, pushing the next trading session to Tuesday. That’s when investors get their first shot at reacting to Sunday’s trade numbers — plus a read on whether the recent run of foreign selling slows or keeps steering the market.
