As the surge in Treasury yields and oil prices that had been weighing on the market subsided, investor anxiety quickly stabilized. Coupled with growing confidence in the solid earnings growth of the AI industry, strong buying momentum entered the market, centered on technology stocks.
Risk appetite improved significantly as the surge in US Treasury yields subsided and the likelihood of further Fed rate hikes receded.
Earnings expectations for related companies heightened due to expanding AI infrastructure investments, such as Marvell's upward revision of its long-term revenue outlook and Google's execution of a large-scale power agreement.
Shares of Seagate and Western Digital plunged on concerns over escalating market competition triggered by reports of Toshiba expanding HDD capacity and entering a bid for key components.
Concerns over renewed inflation eased as international oil prices stabilized following the restoration of Saudi Arabia's East-West pipeline and the recovery of crude shipments.
Global bond market risks calmed as European sovereign bond yields declined following French lawmaker Le Pen's pledge to cut fiscal spending.
Global investment sentiment has improved significantly as the rise in U.S. Treasury yields subsided and earnings momentum for AI infrastructure stocks strengthened. Easing external yield pressures are expected to sustain sector rotation in the domestic stock market ahead of Samsung Electronics' earnings release.
The S&P 500 and Nasdaq indices hit record highs as the U.S. 10-year Treasury yield stabilized at 5.27% and AI tech stocks rallied.
Sector rotation is expected in the domestic stock market due to a combination of wait-and-see sentiment ahead of Samsung Electronics' preliminary Q3 earnings release and holiday-related caution.
Hana Securities lowered price targets for Hyundai Motor and Kia, reflecting expectations of Q3 operating profit missing forecasts due to slowing demand and a sharp decline in year-end exchange rates.
Meritz Securities raised its target price for LG Electronics, citing its backlog of orders for AI data center cooling solutions and expectations for robotics commercialization.
Credit and liquidity risks among listed companies expanded due to weak performance by special-listed Kosdaq firms and a trading suspension for ITCHEM following a disclaimer of audit opinion.
The implementation date of the bill introducing mandatory tender offers was delayed as its submission to the National Assembly was put on hold.
