KOSPI surges 2.81% amid easing inflation and shifting foreign investment

South Korea's benchmark KOSPI index rose 2.81% to 6,903.94 on Friday, driven by easing inflation concerns following a Federal Reserve interest rate hike and falling global oil prices. The rally saw broad gains across sectors, particularly in electrics, electronics, and manufacturing.

In a separate trend, foreign investors became net buyers of Korean stocks in August for the first time this year, ending a seven-month selling streak. Overseas investors purchased a net 344 billion won ($248.4 million) worth of shares, with US investors leading the buying. However, this turnaround has not persisted into September, as foreign investors have returned to net selling, specifically targeting semiconductor heavyweights Samsung Electronics and SK hynix.